5

The following income statement and additional year end information is provided. 5 $ 2,021,000 990, 290 1,030, 710 04:46:58 SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $ 276, 877 Depreciation expense 48,504 Rent expense 54,567 Amortization expenses-Patents 6,063 Utilities expense 22,231 Gain on sale of equipment Net income 408, 242 622,468 8, 084 $630,552 Accounts receivable $ 45,500 increase Accounts payable $9,975 decrease Inventory 31,750 increase Salaries payable 2, 150 decrease Prepare the operating activities section of the statement of cash flows using the direct method (Amounts to be deducted show Indicated with a minus sign.) indicated with a minus sign.) Statement of Cash Flows (Partial) Cash flows from operating activities