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Exercise 21-17 (Algo) Indirect method; reconciliation of net income to net cash flows from operating activities [LO21-4] The accounting records of EZ Company provided the data below. Net income $65,200 14,200 Depreciation expense Increase in inventory 5,100 Decrease in salaries payable 3,760 Decrease in accounts receivable 6,800 Amortization of patent 1,060 Amortization of premium on bonds. 7,320 Increase in accounts payable 11,200 Cash dividends paid 20,000 Prepare a reconciliation of net income to net cash flows from operating activities. (Amounts to be deducted should be indicated with a minus sign.) X Answer is not complete. RECONCILIATION OF NET INCOME TO NET CASH FLOWS FROM OPERATING ACTIVITIES Cash flows from operating activities: Net income Adjustments for noncash effects: Depreciation expense Amortization of patent Changes in operating assets and liabilities: Increase in inventory Decrease in salaries payable Decrease in accounts receivable Increase in accounts payable Net cash flows from operating activities $ 65,200 14,200 1,060 (5,100) (3,760) 6,800 11.200 $ 89,600