Indirect: Cash floww from operating activities.

Exercise 12-4 (Algo) Indirect: Cash flows from operating activities LO P2 The followlng Income statement and oddltlonel year-end Informallon Is provlded_ SONAD CONRAN,' Income Statement For Year Ended Decenber 31 848, 190 882,810 41 , 544 46, 737 19,841 349 , ss2 , 148 gles Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expensespatents utilities expense Gain on sale cf equipment Net income Accounts receivable Inventory S 237,147 s, 193 S 29,750 increase 11,800 increase S s4,e72 Accounts payable Salaries payable S 13,sse decrease l,sse decrease Prepare the operatlng ectlvltles sectlon of the statement of cash flows uslng the indirect method Note: Amounts to be deducted should be Indlcated wlth e mlnu; 51gn. Cash Nows from operating activities Adjustments to reconcile net income to net cash pruided try operating activities Income statement items not affecting cash Changes in current operating assets and liabilities