1. Changes in Current Operating Assets and LiabilitiesIndirect Method

   Covington Corporation's comparative balance sheet for current assets and liabilities was as follows:

   	Dec. 31, Year 2		Dec. 31, Year 1
   Accounts receivable	$11,200		$14,300
   Inventory	79,700		71,800
   Accounts payable	12,900		16,300
   Dividends payable	19,000		18,000

   Adjust net income of $82,000 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. $__________