Using the following income statement and additional year-end information.

SONAD COMPANY Income Statement For Year Ended December 31
Sales				$	1,931,000
Cost of goods sold					946,190
Gross profit					984,810
Operating expenses
Salaries expense	$	264,547
Depreciation expense		46,344
Rent expense		52,137
Amortization expensesPatents		5,793
Utilities expense		21,241			390,062
					594,748
Gain on sale of equipment					7,724
Net income				$	602,472

Accounts receivable	$	47,400		increase		Accounts payable	$	15,800		decrease
Inventory		39,075		increase		Salaries payable		3,100		decrease

Prepare the operating activities section of the statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.)

Using the following income statement and additional year-end information. SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $264,547 Depreciation expense 46,344 Rent expense 52,137 Amortization expenses-Patents 5,793 Utilities expense 21,241 $1,931,000 946, 190 984, 810 Gain on sale of equipment Net income 390,062 594,748 7,724 $ 602,472 Accounts receivable Inventory $47,400 increase 39,075 increase Accounts payable Salaries payable $15,800 decrease 3,100 decrease Prepare the operating activities section of the statement of cash flows using the direct method. (Amounts to be deducted should be Indicated with a minus sign.) Statement of Cash Flows (Partial) Cash flows from operating activities