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

The income statement contained a $500 loss on the sale of equipment, a $700 gain on the sale of land, and $3,200 of depreciation expense. Net income for the period was $47,000.
Required
Prepare the operating activities section of the statement of cash flows.

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Account Title 2012 2011 $38,000 2,800 1,000 9,000 4,800 4,500 Accounts receivable $46,000 2,400 Prepaid rent Interest receivable 900 Accounts payable Salaries payable Unearned revenue 10,500 4,200 5,000