2 of 2 PO ces Required information Problem 21-8 (Algo) Cash flows from operating activities (direct method and indirect method)- deferred income tax liability and amortization of bond discount (LO21-3, 21-4] (The following information applies to the questions displayed below.] Portions of the financial statements for Parnell Company are provided below. PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 Revenues and gains: Sales ($ in thousands) Gain on sale of building Expenses and losses: Cost of goods sold $790 10 $ 800 $295 Salaries expense 119 Insurance expense 39 Depreciation expense 122 Interest expense 49 Loss on sale of equipment 12 636 Incone before tax 164 Income tax expense Net income 82 $ 82 9 < Prev 2 3 of 5 Next > EWORK 15. Statement of Cash Flows Dire 2 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year 2021 2020 Change 1012 Cash $133 $ 101 $32 Accounts receivable 323 217 106 322 Inventory 424 (102) Prepaid insurance 67 87 (20) Accounts payable 209 118 91 Salaries payable 104 94 10 Deferred tax liability Bond discount 62 188 53 9 201 (13) Book POTIONS Help Save & Exit Submit Problem 21-8 (Algo) Part 1 Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the direct method (Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) 2 of 2 Required information Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the direct method. (Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) bok ences Cash Flows from Operating Activities: Net cash flows from operating activities