Prepare Smithson's statement of cash flows using the indirect method. Include an accompanying schedule of non-cash investing and financing activities. C-34A Preparing the statement of cash flowsindirect method with non-cash transactions The 2016 income statement and comparative balance sheet of McKnight, Inc. follow: MCKNIGHT, INc. Income Statement Year Ended December 31, Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses: Salaries Expense Depreciation ExpensePlant Assets Other Operating Expenses Total Operating Expenses Operating Income Other Revenues and (Expenses): Interest Revenue Interest Expense Total Other Revenues and (Expenses) Net Income Before Income Taxes Income Tax Expense Net Income 2016 $ 76,400 14,200 10,500 8,800 (2 11600) $ 441 ,000 202,200 238,800 101,100 137,700 (12,800) 124,900 19,500 s 105,400