Exercise 21-21 (Algo) Cash flows from operating activities (direct method) derived from an income statement; cash flows from operating activities (indirect method) [LO21-3, 21-4] The income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ in thousands) for Peach Computers. PEACH COMPUTERS Income Statement For the Year Ended December 31, 2021 Sales Cost of goods sold Gross margin $ 530.0 (318.0) 212.0 Salaries expense $63.0 Insurance expense 40.0 Depreciation expense 19.0 Loss on sale of land 17.0 139.0 Income before tax 73.0 Income tax expense (36.5) Net income $ 36.5 Reconciliation of Net Income To Net Cash Flows from Operating Activities Net income Adjustments for Noncash Effects Depreciation expense $ 36.5 19.0 Income before tax Income tax expense Net income 73.0 (36.5) $ 36.5 Reconciliation of Net Income To Net Cash Flows from Operating Activities Net income Adjustments for Noncash Effects $ 36.5 Depreciation expense Loss on sale of land Changes in operating assets and liabilities: 19.0 17.0 Decrease in accounts receivable 21.0 Increase in inventory (88.0) Decrease in accounts payable (53.0) Increase in salaries payable 35.0 Decrease in prepaid insurance 16.5 Increase in income tax payable 31.5 Net cash flows from operating activities $ 35.5 Required: 1. Complete the cash flows from operating activities section of the statement of cash flows (direct method). Complete this question by entering your answers in the tabs below. ok how Required: 1. Complete the cash flows from operating activities section of the statement of cash flows (direct method). Complete this question by entering your answers in the tabs below. Required 1 Prepare the cash flows from operating activities section of the statement of cash flows (direct method). (Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities: Cash received from customers Cash paid to suppliers Cash paid to employees Cash paid for insurance Cash paid for income taxes Net cash flows from operating activities