$1,879,000 920,710 958, 290 SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $257,423 Depreciation expense 45,096 Rent expense 50,733 Amortization expenses-Patents 5,637 Utilities expense 20,669 Gain on sale of equipment Net income 379,558 578,732 7,516 586,248 Accounts receivable $29,750 increase Accounts payable $12,400 decrease Inventory 29,000 increase Salaries payable 1,500 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities