Exercise 12-3A Use the indirect method to determine cash flows from operating activities LO 12-1 Shim Company presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from Shim's Year 2 and Year 1 year-end balance sheets: Account Title Year 2 Year 1 Accounts receivable $31,096 $37,315 1,280 1,120 517 10,540 12,648 3,170 3,623 3,33 4,440 Prepaid rent Interest receivable Accounts payable Salaries payable Unearned revenue 646 The income statement reported a $1,410 gain on the sale of equipment, an $600 loss on the sale of land, and $3,400 of depreciation expense. Net income for the period was $54,739. Required Prepare the operating activities section of the statement of cash flows. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Plus Less Net cash flow from operating activities