ch12-Hw Saved Help Save & Exit & Submit Check my work 3 Shim Company presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from Shim's Year 2 and Year 1 year-end balance sheets: 3.5 points Account Title Accounts receivable Prepaid rent Interest receivable Accounts payable Salaries payable Unearned revenue Year 2 $36,000 2,400 600 9,300 4,500 3,600 Year 1 $37,200 1,800 400 10,400 5,200 5,400 eBook The income statement reported a $1,500 gain on the sale of equipment, an $800 loss on the sale of land, and $3,600 of depreciation expense. Net income for the period was $47,300. Hint Required Prepare the operating activities section of the statement of cash flows. (Amounts to be deducted should be indicated with sign.) minus Print References S 47,300 Cash flows from operating activities: Net Income Plus: Depreciation expense Logs on sale of land Decrease in accounts receivable 3,600 800 1,200 Less: Gain on sale of equipment Increase in prepaid rent Decrease in accounts payable Decrease in salaries payable Decrease in unearned revenue (1,500) ( (600) (1,100) (700) (1,800)