and the choices in the blanks are:

decrease in account payable

decrease in accounts receivable

decrease in inventory

depreciation expense

gain on sale of land

increase in accounts payable

increase in accounts receivable

loss on sale of land

net income

net loss

Software Distributors reports net income of $63,000. Included in that number is depreciation expense of $14,000 and a loss on the sale of land of $5,800. A comparison of this years and last year's balance sheets reveals a decrease in accounts receivable of S33,000, a decrease in inventory or $19,000, and an increase in accounts payable of $53,000. Required: Prepare the operating activities section of the statement of cash flows using the indirect method SOFTWARE DISTRIBUTORS Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash flows from operating activities Net cash flows from operating activities