3: Cash Flows Statement (Chapter 23, 35 points) The financial data of the firm X is as follows: Firm X Income Statement For the period of 2020 Sales Cost of goods sold Gross profit Operating expenses Income before income taxes Income taxes Net income $352,000 225,000 X1? 85,000 X2? 28,000 X3? Trang/Page: 2 Additional data: The company also indicates that depreciation expense for the year was $17,700. Also, the net changes in following accounts are presented below: Cash Accounts receivable Inventories Salaries payable (operating expenses) Accounts payable Income taxes payable Deferred tax liability Debit Credit $12,000 25,000 $19,400 8,000 12,000 3,000 $2,600 Required: Prepare a schedule computing the net cash flow from operating activities that would be shown on a statement of cash flows: a. Calculate X1, X2, and X3 that reported on the Income Statement. (Show you work, 10 points) b. Prepare the cash flows from operating activities using the indirect method. (Show you work, 15 points) c. Prepare the cash flows from operating activities using the direct method. (Show you work, 10 points)