Cash flows from operating activities for both the indirect and direct methods are presented for Electronic Transformations Cash Flows from Operating Activities (Indirect method) $34,100 Net income Adjustments to reconcile net income to net cash flows from operating activities: 7,100 (11,100) 6,100 4,100 Depreciation expense Increase in accounts receivable Increase in accounts payable Increase in income tax payable Net cash flows from operating activities $40,300 Cash Flows from Operating Activities (Direct method) Cash received from customers Cash paid for operating expenses Cash paid for income taxes $ 73,500 (24,100) (9,100) Net cash flows from operating activities $40,300 Required Complete the following income statement for Electronic Transformations. Assume all accounts payable are to suppliers. ELECTRONIC TRANSFORMATIONS Income Statement For the Year Ended December 31, 2018 Net sales Expenses: Operating expenses Depreciation expense Income tax expense Total expenses 7,100 34,100 Net income