The income statement and a partial balance sheet for Jefferson Company is presented below. Prepare the operating activities section of the statement of cash flows using the directmethod

Jefferson Companv Income Statement For the Year Ended December 31, 2013 Sales Cost of goods sold Gross profit Operating expenses: Salaries Depreciation expense Miscellaneous Net income 500,000 390.000 110,000 70.000 0.000 10.000 S 100.000 10.000 Jefferson Company Partial Balance Sheet 31-Dec-13 2013 2012 Cash Accounts receivable (net) nventoies Accrued liabilities Accounts payable (inventory) S Salaries payable 80,000S 57.000S 102.000 S 4,500 S 58,000S 7.500S 65.000 50.000 86.000 5,000 51.000 6.000