COMPUTE CASH PROVIDED BY OPERATING ACTIVITIES Horn Company's condensed income statement for the year ended December 31, 20-2, was as follows:

Additional information obtained from Horn's comparative balance sheet and auxiliary records as of December 31, 20-2 and 20-1, was as follows:

Depreciation expense for 20-2, included in operating expenses on the income statement, was $32,000.
REQUIRED
Prepare a partial statement of cash flows reporting cash provided by operating activities for the year ended December 31,20-2.

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Net sales Cost of goods sold Gross profit Operating expenses $1,220,000 $ 480,000 142,000 $ 338,000 Other revenues and expenses: Interest revenue Interest expense Income before taxes Income tax expense Net income $ 420 (1,200) (780) $ 337,220 118,000