Exercise 12-5 The current sections of Sanford Inc.s balance sheets at December 31, 2013 and 2014, are presented here. Sanfords net income for 2014 was $408,204. Depreciation expense was $72,036. 2014 2013 Current assets Cash $280,140 $ 264,132 Accounts receivable 213,440 237,452 Inventory 448,224 458,896 Prepaid expenses 72,036 58,696 Total current assets $1,013,840 $1,019,176 Current liabilities Accrued expenses payable $ 40,020 $ 13,340 Accounts payable 226,780 245,456 Total current liabilities $266,800 $ 258,796 Prepare the net cash provided by operating activities section of the companys statement of cash flows for the year ended December 31, 2014, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

SANFORD INC. Partial Statement of Cash Flows For the Year Ended December 31, 2014 Adjustments to reconcile net income to