$190,505 16,976 Net income Depreciation expense Loss on disposal of equipment Gain on sale of building Increase in accounts receivable Decrease in accounts payable (9,799) 21,727 9,581 (3,017) Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. in cash, cash payments, or any negative adjustments. Kennedy, Inc. Statement of Cash Flow Cash flows from operating activities: Increase in accounts payable Adjustments to reconcile net income to net cash flow from operating activities: Depreciation expense Changes in current operating assets and liabilities: Net cash flow from operating activities