Exhibit 5 Adjustments to Net Income (Loss) Using the Indirect Method Net income (loss) Adjustments to reconcile net income to net cash flow from operating activities: Step 1Depreciation of fixed assets Step 2 Losses on disposal of assets Step 3-Changes in current operating assets and liabilities Gains on disposal of assets Increases in noncash current operating assets Decreases in noncash current operating assets Increases in current operating liabilities Decreases in cutrent operating liabilities Net cash flow from operating activities....... sxoCX Subtract Add Increases in accounts receivable Increases in inventory Increases in prepaid expenses Decreases in accounts payable Decreases in accrued expenses payable Decreases in income taxes payable Decreases in accounts receivable Decreases in inventory Decreases in prepaid expenses Increases in accounts payable Increases in accrued expenses payable Increases in income taxes payable Net income is normally adjusted to cash flows from operating activities, using the following hp