Carla Vista Ltd. reported the following for the fiscal year 2017:

CARLA VISTALTD.

Income Statement

Year Ended September 30, 2017Sales

$568,000

Cost of goods sold

323,000

Gross profit

245,000

Operating expenses

$ 94,000

Depreciation expense

19,000

Gain on sale of land

(29,000

)84,000Profit before income tax161,000

Income tax expense

40,250

Profit

$120,750

Additional information:

1.Accounts receivable decreased by $14,800 during the year.

2.Inventory increased by $6,300 during the year.

3.Prepaid expenses decreased by $4,300 during the year.

4.Accounts payable to suppliers increased by $9,800 during the year.

5.Accrued expenses payable increased by $3,800 during the year.

6.Income tax payable decreased by $5,600 during the year.

Prepare the operating activities section of the cash flow statement using the direct method.