Use the following income statement and information about changes in non-cash current assets and current liabilities to present the cash flows from operating activities using the indirect method:

Changes in current asset and current liability accounts during the year were as follows:
Accounts receivable......................................... $135 decrease
Inventory ......................................................... 54 increases
Prepaid insurance ............................................. 6 increase
Accounts payable ............................................. 30 increase
Accrued liabilities ............................................. 15decrease

Transcribed Image Text:

Kestrel Gold Inc. Income Statement For Year Ended May 31, 2014 Sales ... Cost of goods sold Gross profit.. Operating expenses $2,850 1,440 $1,410 Depreciation expenseS 225 Other expenses.. Total operating expenses.. 1,140 . 1,365 Loss on sale of long-term investment Income (loss) from operati 90 S (45) 0- Net income (loss) S (45)