Exercise 12-4 Indirect: Cash flows from operating activities LO P2 The following income statement and information about changes in noncash current assets and current liabilities $2,333,000 1,143,170 1,189,830 SONAD COMPANY Income Statement For Year Ended December 31, 2017 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $319,621 Depreciation expense 55,992 Rent expense 62,991 Amortization expenses-Patents 6,999 Utilities expense 25,663 471,266 718,564 9,332 727,896 Gain on sale of equipment Net income $ Changes in current asset and current liability accounts for the year that relate to operations follow. Accounts receivable Inventory $28, 250 increase 37,650 increase Accounts payable Salaries payable $ 8,400 decrease 1,800 decrease LUULOJIT CU TIL UJJEL UIU CUI TIL UDLY UCCUULILJ IUILII CUI LIIULIUL LU UMOULIULISIUNUVV. Accounts receivable Inventory $28, 250 increase 37,650 increase Accounts payable Salaries payable $ 8,400 decrease 1,800 decrease Required: Prepare only the cash flows from 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 to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities