Use the indirect method to determine cash flows from operating activities Chang Company presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from Chang's 2012 and 2011 year-end balance sheets.

The income statement contained a $1,200 gain on the sale of equipment, a $900 loss on the sale of land, and $2,500 of depreciation expense. Net income for the period was $52,000.
Required
Prepare the operating activities section of the statement of cash flows.

Account Title 2012 2011 Accounts receivable Prepaid rent $28,000 1,800 $32,000 1,500 Interest receivable 700 500 Accounts payable Salaries payable Unearned revenue 8,500 3,600 4,000 9,800 3,200 6,000