Exercise 12-18B Direct: Cash flows from operating activities LO P5 Using the following income statement and additional year-end Information. SONAD COMPANY Income statement For Year Ended December 31 $ 1,916,000 938, 840 977,160 Sales Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense $ 262,492 45,984 51,732 5,748 21, 076 Gain on sale of equipment Net income 387,032 590,128 7,664 597,792 $ $ Accounts receivable Inventory $ 13,900 increase 23,375 increase Accounts payable salaries payable 11,325 decrease 4,200 decrease Prepare the operating activities section of the statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (Partial) Cash flows from operating activities $