eBook Show Me How Adjustments to Net Income-Indirect Method Ripley Corporation's accumulated depreciation-equipment account increased by $15,325 while $3,000 of patent amortization was recognized between balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition, the income statement showed a gain of $22,420 from the sale of investments Reconcile a net income of $206,900 to net cash flow from operating activities.