$ 910 355 555 HAWKEYE COMPANY Income Statement For the Year Ended December 31, 2021 ($ in millions) Sales Cost of goods sold Gross margin Operating expenses: Salaries $ 233 Depreciation 191 Loss on sale of land 10 Total operating expenses Operating income Other income (expense): Gain on sale of cash equivalents Interest expense Income before tax Income tax expense Net income 434 121 4 (41) 84 42 $ 42 HAWKEYE COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in millions) Year 2021 2020 Change Cash $ 214 $ 201 $ 13 Accounts receivable 396 423 (27) Inventory 862 851 11 Accounts payable 211 236 (25) Salaries payable 181 190 (9) Interest payable 57 51 6 Income tax payable 91 106 (15) Required: 2. Prepare the cash flows from operating activities section of the statement of cash flows for Hawkeye Company using the indirect method. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities: Adjustments for noncash effects: Changes in operating assets and liabilities: Net cash flows from operating activities