Exercise 16-4 (Algo) Indirect: Cash flows from operating activities LO P2 The following Income statement and additional year-end Information is provided. SONAD COMPANY Income Statement For Year Ended December 31 $ 2,163,000 1,059,870 1,103,130 Sales Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense Gain on sale of equipment Het income Accounts receivable Inventory $ 296,331 51,912 58,401 6,489 23,793 436,926 666, 204 8,652 $ 674,856 $ 34,200 increase Accounts payable 34,675 increase Salaries payable $ 11,475 decrease 2,450 decrease Prepare the operating activities section of the statement of cash flows using the mndred method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities $