Alfonza Incorporated presents its statement of cash flows using the indirect method. The following accounts and corresponding

balances were drawn from the company's Year $2$ and Year $1$ year$-$end balance sheets:

The Year $2$ income statement showed net income of $$26,400.$

Required

a$.$ Prepare the operating activities section of the statement of cash flows.

Note: Amounts to be deducted should be indicated with a minus sign.