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Exercise 171 Towson Company prepared the tabulation below at December 31, 2017 Net Income Adjustments to reconcile net income to net cash provided by operating activities $340,000 Depreciation expense Increase in accounts receivable Decrease in inventory Amortization of patent Increase in accounts payable Decrease in interest receivable Increase in prepaid expenses Decrease in income taxes payabl Gain on sale of land Net cash provided (used) by operating activities $43,000 550,000 $13,000 $4,000 $5,600 $7,000 $6,000 $1,500 $5,000 Show how each item should be reported in the statement of cash flows. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) TOWSON COMPANY Partial Statement of Cash Flows Adjustments to reconcile net income to