The income statement for the Mendelin Corporation is as follows:

Additional information is as follows:
a. Interest expense includes $1,800 of discount amortization.
b. The prepaid insurance expense account decreased by $2,000 during the year.
c. Accrued wages decreased by $3,000 during the year.
d. Accounts payable increased by $7,500 (this account is for purchase of merchandise only).
e. Accounts receivable increased by $10,000 (net of allowance for doubtful accounts).

Required:
Prepare a schedule of operating cash flows by using the indirectmethod.

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$ 380,000 Revenues Less: Cost of goods sold $50,000 200,000 Beginning inventory Less: Patent amortization Depreciation expense Insurance expense Bad debt expense Interest expense 7600) Net income