E12-7 (Algo) Reporting Cash Flows from Operating Activities (Indirect Method) LO12-2 The following information pertains to Peak Heights Company: Income Statement for Current Year Sales $ 85,800 Expenses Cost of goods sold $51,675 Depreciation expense 7,100 Salaries expense 12,000 70,775 Net income $ 15,025 Partial Balance Sheet Accounts receivable Inventory Salaries payable Current Prior year year $ 9,600 $ 14,900 12,700 8,700 1,640 940 Required: Present the operating activities section of the statement of cash flows for Peak Heights Company using the indirect method. (List cash outflows as negative amounts.) PEAK HEIGHTS COMPANY Statement of Cash Flows (Partial) Cash flows from operating activities: $ 0