Please help with this problem and explain as well. Thank you!!!

The Diversified Portfolio Corporation provides investment advice to customers. A condensed income statement for the year ended December 31, 2016, appears below:

Service revenue	$	960,000
Operating expenses		730,000
Income before income taxes		230,000
Income tax expense		46,000
Net income	$	184,000

The following balance sheet information also is available:

	12/31/16	12/31/15
Cash	$	348,000	$	73,000
Accounts receivable		126,000		103,000
Accounts payable (operating expenses)		76,000		63,000
Income taxes payable		13,000		21,000

In addition, the following transactions took place during the year:
1.	Common stock was issued for $106,000 in cash.
2.	Long-term investments were sold for $53,000 in cash. The original cost of the investments also was $53,000.
3.	$83,000 in cash dividends was paid to shareholders.
4.	The company has no outstanding debt, other than those payables listed above.
5.	Operating expenses include $33,000 in depreciation expense.

Required:
1.	Prepare a statement of cash flows for 2016 for the Diversified Portfolio Corporation. Use the direct method for reporting operating activities.(Amounts to be deducted should be indicated with a minus sign.)

2.	Prepare the cash flows from operating activities section of Diversified?s 2016 statement of cash flows using the indirect method.(Amounts to be deducted should be indicated with a minus sign.)