Cash The net income reported on the income statement for the current year was $291,100. Depreciation recorded on equipment and a building amounted to $87,000 for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of Year $75,100 $79,610 Accounts receivable (net) 98,240 169,250 Prepaid expenses Accounts payable (merchandise creditors) 88,840 Salaries payable 11,070 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 outflows, cash payments, decreases in cash, or any negative adjustments. Inventories 95,230 187,750 10,440 83,890 11,230 12,090 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: Net cash flow from operating activities b. If the direct method had been used, would the net cash flow from operating activities have been the same