PA12-2 Computing Cash Flows from Operating Activities (Indirect Method) [LO 12-2] The income statement and selected balance sheet information for Direct Products Company for the year ended December 31 are presented below Income Statement $40,600 Sales Revenue Expenses 17,000 1,200 Salaries and Wages Expense8,200 3,700 1,500 1,400 1,000 Cost of Goods Sold Depreciation Expense Rent Expense Insurance Expense Interest Expense Utilities Expense Net Income $ 6,600 Selected Balance Sheet Accounts Ending Beginning Balances Balances Accounts Receivable Inventory Accounts Payable Prepaid Rent Prepaid Insurance Salaries and Wages Payable Utilities Payable $ 575 810 435 31 28 64 26 610 680 490 23 34 42 Required Prepare 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.)