Atkins Corporation has provided the iollowing information for the year ended December 31, 2019: The equipment account balance increased by $218,000 from the beginning of the year to the end of the year. The equipment accumulated depreciation account balance increased by $36,800 from the beginning of the year to the end of the year, Equipment costing $53,600 was sold during the year resulting in a $12,700 gain. Depreciation expense recorded on the equipment during the year was $67,700. Which of the following statements is incorrect with respect to preparation of the statement of cash flows? Assume that the equipment purchase and sale resulted in cash flows, Using the indirect method, net income is increased by the $67,700 depreciation expense. A $66,300 cash inow is reported from the equipment sale, A $35,400 cash inow is reported from the equipment sale. Using the indirect method, net income is decreased by the $12,700 gain on the sale ofihe equipment