make it clear please!

Check Pizza International, Inc., reported the following information (in thousands): Operating Activities Net Income Depreciation Increase in receivables Decrease in inventory Increase in prepaid expenses Decrease in accounts payable Increase in acerued liabilities Decrease in income taxes payable Payments on notes payable Cash paid for equipment $ 134 33, 310 171 645 665 8,721 720 2,723 12,692 29,074 The following summarized income statement for Pizza International, Inc. (in thousands): Havenues Cost of Sales Gross Profit Salary and Wages Expense Depreciation office Expenses Net Income before Income Tax Expense Income Tax Expenso Net Income $143,651 45,550 98,101 56,840 33,310 7,782 169 35 $ 134 Required: 1. Based on this information, compute cash flow from operating activities using the direct method. Assume Prepaid Expenses and Accrued Liabilities relate to office expenses. 2. What was the primary reason that Pizza International was able to report large positive cash flow from operations despite nearly having a net loss? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Based on this information, compute cash flow from operating activities using the direct method. Assume Prepaid Expenses and Accrued Liabilities relate to office expenses. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.) PIZZA INTERNATIONAL, INC. Cash Flows from Operating Activities-Direct Method $