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2. Presented below is the 2021 income statement and comparative balance sheet information for Tiger Enterprises. TIGER ENTERPRISES Income Statement For the Year Ended December

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Presented below is the 2021 income statement and comparative balance sheet information for Tiger Enterprises.

TIGER ENTERPRISES
Income Statement
For the Year Ended December 31, 2021
($ in thousands)
Sales revenue $ 7,960
Operating expenses:
Cost of goods sold $ 3,520
Depreciation expense 400
Insurance expense 260
General and administrative expense 1,960
Total operating expenses 6,140
Income before income taxes 1,820
Income tax expense (760 )
Net income $ 1,060
Balance Sheet Information ($ in thousands) Dec. 31,2021 Dec. 31, 2020
Assets:
Cash $ 460 $ 360
Accounts receivable 910 990
Inventory 800 760
Prepaid insurance 130 100
Equipment 2,900 2,600
Less: Accumulated depreciation (1,160 ) (760 )
Total assets $ 4,040 $ 4,050
Liabilities and Shareholders' Equity:
Accounts payable $ 460 $ 520
Accrued liabilities (for general & administrative expense) 460 560
Income taxes payable 360 310
Notes payable (due 12/31/2022) 960 760
Common stock 1,060 960
Retained earnings 740 940
Total liabilities and shareholders' equity $ 4,040 $ 4,050

Required: Prepare the cash flows from operating activities section of Tiger's 2021 statement of cash flows using the direct method. Assume that all purchases and sales of inventory are on account, and that there are no anticipated bad debts for accounts receivable. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.)

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