Exercise 12-3 (Algo) Indirect: Reporting cash flows from operations LO P2 Arundel Company disclosed the following information for its recent calendar year. Income Statement Data Revenues Expenses: Salaries expense Utilities expense Depreciation expense Interest expense Net loss Selected Year-End Balance Sheet Data $ 26,000 18,000 25,000 16,000 $ 90,000 Accounts receivable decrease Purchased a machine for cash 70,000 Salaries payable increase 31,000 Interest payable decrease 30,000 7,400 $ (48,400) Prepare the operating activities section of the statement of cash flows using the indirect method (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