Cash Flows from Operating ActivitiesDirect Method

The income statement for Rhino Company for the current year ended June 30 and balances of selected accounts at the beginning and the end of the year are as follows:

Sales					$288,740
Cost of merchandise sold					99,630
Gross profit					$189,110
Operating expenses:
	Depreciation expense		$24,940
	Other operating expenses		74,880
		Total operating expenses			99,820
Income before income tax					$89,290
Income tax expense					25,830
Net income					$63,460

	End of Year		Beginning of Year
Accounts receivable (net)	$23,290		$20,260
Inventories	59,720		51,960
Prepaid expenses	9,390		10,330
Accounts payable (merchandise creditors)	43,790		40,640
Accrued expenses payable (operating expenses)	12,370		13,480
Income tax payable	2,350		2,350

Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the direct method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

Rhino Company
Cash Flows from Operating Activities Section
For the year ended on June 30
Cash flows from operating activities:
	$
Net cash flow from operating activities	$