Cridberg Corporation's selling and administrative expenses for last year totaled $294,000. During the year the company's prepaid expense account balance increased by $35,000 and accrued liabilities decreased by $29,000. Depreciation for the year was $59,000. Based on this information, selling and administrative expenses adjusted to a cash basis under the direct method on the statement of cash flows would be

$289,000

$417,000

$171,000

$299,000