Exercise 16-5 (Algo) Indirect: Cash flows from operating activities LO P2 Fitz Company reports the following information. Selected Annual Income Statement Data Selected Year-End Balance Sheet Data Net income $ 370, 000 Accounts receivable decrease $ 78, 500 Depreciation expense 47, 200 Inventory decrease 50 , 500 Amortization expense 7, 300 Prepaid expenses increase 5, 200 Gain on sale of plant assets 6, 200 Accounts payable decrease 8, 100 Salaries payable increase 1, 500 Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31 Note: 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 es Income statement items not affecting cash Changes in current operating assets and liabilities