Following are the income statement and some additional information for Parson Consulting Company for 2024.

Parson Consulting Company Income Statement For the Year Ended December 31, 2024

Net sales $ 12,200

Cost of goods sold (2,600)

Gross margin 9,600

Operating expenses $ 3,100

Depreciation expense 1,000 (4,100)

Income before taxes 5,500

Income taxes (2,000)

Net income $ 3,500

All sales were on credit and accounts receivable increased by $800 in 2024 compared to 2023. Merchandise purchases were on credit with an increase in accounts payable of $500 during the year. Ending inventory was $600 larger than beginning inventory. Income taxes payable increased $400 during the year. All operating expenses were paid for in cash.

Required: Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method.