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Presented below are the 2018 income statement and comparative balance sheets for Santana Industries. SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2018 (s in thousands) Sales revenue Service revenue $14,650 3,800 Total revenue $18,450 Operating expenses: Cost of goods sold Selling General and administrative 7,400 2,600 11,700 6,750 Total operating expenses Operating income Interest expense Income before income taxes Income tax expense Net income 6,530 2,700 $3,830 Dec. 31, Dec. 31, 2018 2017 Balance Sheet Information ( in thousands) AssetS: Cash Accounts receivable Inventory Prepaid rent Plant and equipment $ 7,550 2,380 2,400 3,200 340 14,900 12,400 5,300) 14,700) $24,620 $16,020 2,900 4,400 170 Less: Accumulated depreciation Total assets Liabilities and Shareholders' Equity: Accounts payable Interest payable Deferred service revenue Income taxes payable Loan payable (due 12/31/2020) Common stock Retained earnings $ 1,800 1,300 120 840 570 5,400 620 840 10,200 10,200 5,690 3,060 $24,620 $16,020 Total liabilities and shareholders' equity Additional information for the 2018 fiscal year (S in thousands): 1. Cash dividends of $1,200 were declared and paid. 2. Equipment costing $4,400 was purchased with cash. 3. Equipment with a book value of $700 (cost of $1,900 less accumulated depreciation of $1,200) was sold for $700. 4. Depreciation of $1,800 is included in operating expenses. Required Prepare Santana Industries' 2018 statement of cash flows, using the indirect method to present cash flows from operating activities. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.) SANTANA INDUSTRIES Statement of Cash Flows For the Year Ended December 31, 2018 $ in thousands)