Exercise 12-2 (Algo) Indirect: Reporting cash flows from operations LO P2 Hampton Company reports the following information for its recent calendar year. Income Statement Data Sales Expenses: Cost of goods sold Salaries expense Depreciation expense Net income Required: $ 73,000 Accounts receivable increase Selected Year-End Balance Sheet Data Inventory decrease $ 9,000 3,000 900 36,000 Salaries payable increase 12,000 8,000 $ 17,000 Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Cash flows from operating activities-indirect method Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities $ 0