Refer to the information presented in PA-11. Assume that Jill K. Ltd. is a private corporation that elects to report its financial results in accordance with ASPE.

Data from PA-11

• Income tax expense for the year was $30,000.
• Sales for the year were $650,000.
• Accounts payable decreased $10,000 in 2018.
• Selling and administration expenses for the year totalled $200,000.
• Accounts receivable increased $20,000 in 2018.
• Jill’s cost of goods sold in 2018 was $325,000.
• Jill’s inventory decreased $15,000 during the year.
• Interest expense for the period was $12,000. The interest payable account increased $1,000.
• Dividends were not declared during the year; however, the dividends payable account decreased $10,000.
• Sold an at fair value through other comprehensive income investment for $8,000. The book value was $9,000.
• Depreciation expense for the year was $13,000.

Required:
a. Prepare the cash flows from operating activities section of the cash flow statement using the direct method.
b. Identify how the activities listed above that are not operating activities would be reported in the cash flow statement.