The income statement and a partial balance sheet for Jefferson Company is presented below. Prepare the operating activities section of the statement of cash flows using the directmethod

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Jefferson Companv Income Statement For the Year Ended December 31, 2013 Sales Cost of goods sold Gross profit Operating expenses: Salaries Depreciation expense Miscellaneous Net income 500,000 390.000 110,000 70.000 0.000 10.000 S 100.000 10.000 Jefferson Company Partial Balance Sheet 31-Dec-13 2013 2012 Cash Accounts receivable (net) nventoies Accrued liabilities Accounts payable (inventory) S Salaries payable 80,000S 57.000S 102.000 S 4,500 S 58,000S 7.500S 65.000 50.000 86.000 5,000 51.000 6.000