1.3 Brief Exercise 14-19 Operating Cash Flows: Indirect Method Swasey Company provided the following partial comparative balance sheets and the ined statement for 20X2 Swasey Company Comparative Balance Sheets At December 31, 20X1 and 20X2 20X1 20x2 Current assets: Accounts receivable Inventories Current liabilities: Wages payable $1,500,000 600,000 $1,165,000 640,000 1,400,000 1,030,000 Swasey Company Income Statement For the Year Ended December 31, 20X2 Revenues Gain on sale of equipment Cost of goods sold Depreciation expense Interest expense Net income $ 6,000,000 200,000 (3,840,000) (540,000) (20,000) $ 1,800,000 Required: Compute operating cash flows using the indirect method. Swasey Company Statement of Cash Flows Year Ending December 31, 20X2 Add (deduct) adjusting items