Comparative financial statement data for Holly Company are given below:

	December 31
	This Year		Last Year
Assets
Cash	$	4	$	7
Accounts receivable		36		29
Inventory		75		61
Total current assets		115		97
Property, plant, and equipment		210		180
Less accumulated depreciation		40		30
Net property, plant, and equipment		170		150
Total assets	$	285	$	247
Liabilities and Stockholders%u2019 Equity
Accounts payable	$	45	$	39
Common stock		90		70
Retained earnings		150		138
Total liabilities and stockholders%u2019 equity	$	285	$	247

For this year, the company reported net income as follows:

Sales	$	500
Cost of goods sold		300
Gross margin		200
Selling and administrative expenses		180
Net income	$	20

This year Holly declared and paid a cash dividend. There were no sales of plant and equipment during this year. The company did not repurchase any of its own stock this year.

Required:

Using the direct method, convert the company%u2019s income statement to a cash basis. (Adjustment amounts that are to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.)

Holly Company Direct Method of Determining the Net Cash flows from Operating activities
Sales	$
Adjustments to a cash basis:
(Click to select) Decrease in accounts receivable Decrease in inventory Decrease in accounts payable Depreciation Increase in accounts payable Increase in inventory Increase in accounts receivable		$
Cost of goods sold
Adjustments to a cash basis:
(Click to select) Decrease in accounts receivable Increase in accounts payable Increase in accounts receivable Decrease in inventory Decrease in accounts payable Depreciation Increase in inventory
(Click to select) Increase in accounts receivable Increase in accounts payable Decrease in accounts payable Decrease in accounts receivable Increase in inventory Decrease in inventory Depreciation
Selling and administrative expenses
Adjustments to a cash basis:
(Click to select) Decrease in accounts payable Depreciation Increase in accounts receivable Decrease in inventory Increase in inventory Decrease in accounts receivable Increase in accounts payable
Net cash (Click to select) provided by used for operating activities		$