Presented below are the $2024$ income statement and comparative balance sheets for Santana Industries.

SANTANA INDUSTRIES

Income Statement

For the Year Ended December $31,2024$

$($$ in thousands$)$

Sales revenue

$ $15,250$

$$

Service revenue

$4,400$

$$

Total revenue

$$

$ $19,650$

Operating expenses:

$$

$$

Cost of goods sold

$7,700$

$$

Selling expense

$2,900$

$$

General and administrative expense

$2,000$

$$

Total operating expenses

$$

$12,600$

Operating income

$$

$7,050$

Interest expense

$$

$200$

Income before income taxes

$$

$6,850$

Income tax expense

$$

$2,100$

Net income

$$

$ $4,750$

Balance Sheet Information $($$ in thousands$)$

December $31,2024$

December $31,2023$

Assets:

$$

$$

Cash

$ $8,800$

$ $2,650$

Accounts receivable

$3,500$

$2,700$

Inventory

$5,000$

$3,500$

Prepaid rent

$200$

$400$

Equipment

$15,500$

$13,000$

Less: Accumulated depreciation

$(5,600)$

$(5,000)$

Total assets

$ $27,400$

$ $17,250$

Liabilities and Shareholders$$ Equity:

$$

$$

Accounts payable

$ $2,400$

$ $1,600$

Interest payable

$150$

$0$

Deferred revenue

$900$

$650$

Income taxes payable

$600$

$900$

Notes payable $($due $12/31/2026)$

$6,000$

$0$

Common stock

$10,500$

$10,500$

Retained earnings

$6,850$

$3,600$

Total liabilities and shareholders' equity

$ $27,400$

$ $17,250$

Additional information for the $2024$ fiscal year $($$ in thousands$)$:

Cash dividends of $$1,500$ were declared and paid.

Equipment costing $$5,000$ was purchased with cash.

Equipment with a book value of $$1,000($cost of $$2,500$ less accumulated depreciation of $$1,500)$ was sold for $$1,000.$

Depreciation of $$2,100$ is included in operating expenses.

Required:

Prepare Santana Industries' $2024$ statement of cash flows, using the indirect method to present cash flows from operating activities.

Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.