3 The following Income statement and additional year-end Information is provided. 20 points eBook Hint Ask References Sales SONAD COMPANY Income Statement For Year Ended December 31 $ 1,828,000 991,000 837,000 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 $ 245,535 44,200 49,600 4,200 18,125 361,560 475,340 6,200 $ 481,540 Accounts receivable: Inventory Je, see increase Accounts payable 25,000 increase Salaries payable $ 12,500 decrease 3,500 decrease Prepare the operating activities section of the statement of cash flows using the Indirect method. Note: Amounts to be deducted should be Indicated with a minus sign. 3 0 oints Accounts receivable Inventory $ 30,500 increase Accounts payable 25,000 increase Salaries payable $ 12,500 decrease 3,500 decrease Prepare the operating activities section of the statement of cash flows using the Indirect method. Note: Amounts to be deducted should be Indicated with a minus sign. Statement of Cash Flows (partial) eBook Cash flows from operating activities Hint Ask Net income Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash References Changes in current operating assets and liabilities Increase in accounts receivable Increase in inventory Decrease in salaries payable Increase in salaries payable Net cash provided by operating activities $ 44,200 S 44.200