Cash Flows from Operating Activities-Indirect Methoo The net income reported on the income statement for the current year was $136,900. Depreciation recorded on store equipment for the year amounted to 22,600. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year $53,120 38,090 52,000 5,840 49,770 27,200 Beginning of Year Cash Accounts receivable (net) Merchandise inventory Prepaid expenses Accounts payable (merchandise creditors) Wages payable a. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments decreases in cash, or any negative adjustments $48,340 35,720 54,380 4,590 45,730 29,870 Statement of Cash Flows (partial) Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities