$1,943,000 952,070 990,930 Sales Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense Gain on sale of equipment Net income $266, 191 46,632 52,461 5,829 21,373 392,486 598,444 7,772 $ 606,216 Accounts receivable Inventory $13,000 increase 16,675 increase Accounts payable Salaries payable $9, 225 decrease 2,750 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. ndicated 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