Exercise 11-11A Calculate operating activities-indirect method (LO11-3) Portions of the financial statements for Peach Computer are provided below. PEACH COMPUTER Income Statement For the year ended December 31, 2021 Net sales Expenses: Cost of goods sold Operating expenses Depreciation expense Income tax expense Total expenses Net income $1,675,000 $1,000,000 510,000 45,000 35,000 $ 1,590,000 85,000 PEACH COMPUTER Selected Balance Sheet Datal December 31 Increase (1) or 2021 2020 Decrease (D) Cash $97,000 $82,500 $14,500 (1) Accounts receivable 46,500 51,500 5,000 (D) Inventory 70,000 52,500 17,500 (I) Prepaid rent: 2,500 4,000 1,500 (D) Accounts payable 40,000 34,500 5,500 (I) Income tax payable 4,500 7,500 3,000 (D) Required: Prepare the operating activities section of the statement of cash flows for Peach Computer using the indirect method. (List cash outflows and any decrease in cash as negative amounts.) PEACH COMPUTER Required: Prepare the operating activities section of the statement of cash flows for Peach Computer using the indirect method. (List cash outflows and any decrease in cash as negative amounts.) PEACH COMPUTER Statement of Cash Flows (partial) For the Year Ended December 31, 2021 Cash flows from operating activities: Net income cash flows from operating activities: Decrease in accounts payable $ 168,000 Adjustments to reconcile net income to net Net cash flows from operating activities. $ 168,000