Exercise 16-7 (Static) Indirect: Reporting cash flows from operations LO P2 Annual Income Statement Data Sales Expenses: Cost of goods sold Wages expense Amortization expense Net income Selected Year-End Balance Sheet Data $ 50,000 Wages payable decrease Inventory increase 30,000 Accounts payable decrease 10,000 1,500 $ 8,500 $ 3,000 500 1,000 Prepare the operating activities section of the statement of cash flows for Green Garden using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activitiesindirect method Net income Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash $ 8,500 Changes in current operating assets and liabilities $ 8,500