Exercise 12-4 Indirect: Cash flows from operating activities LO P2 The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement Tor Year linded December 31 Sales $2,170,000 Cost of goods sold 1,063,300 Gross profit 1,106,700 Operating expenses Salaries expense $297, 290 Depreciation expense 52,080 Rent expense 58,590 Amortization expenses-Patents 6,519 Utilities expense 23,870 438,340 668,360 Gain on sale of equipment 8,680 Net Income $ 677.040 Accounts receivable Inventory $49,050 increase 39,700 Increase Accounts payable Salaries payable $13,275 decrease 3,350 decrease 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 Adjustments to reconcile net income fonet cash provided by operating activities Income statement les not affecting cash Changes in current operating assets and liabilities $