Presented below are the 2011 income statement and comparative balance sheets for Santana Industries.

Additional information for the 2011 fiscal year ($ in thousands):

1. Cash dividends of $1,000 were declared and paid.

2. Equipment costing $4,000 was purchased with cash.

3. Equipment with a book value of $500 (cost of $1,500 less accumulated depreciation of $1,000) was sold for $500.

4. Depreciation of $1,600 is included in operating expenses.

Required:

Prepare Santana Industries' 2011 statement of cash flows, using the indirect method to present cash flows from operating activities.