Heads Up Company was started several years ago by two hockey instructors. The companys comparative balance sheets and income statement follow, along with additional information.

	Current Year					Previous Year
Balance Sheet at December 31
Cash		$	6,180				$	4,160
Accounts Receivable			890					1,730
Equipment			5,390					4,900
Accumulated DepreciationEquipment			(1,480	)				(1,240	)
		$	10,980				$	9,550
Accounts Payable		$	710				$	1,200
Salaries and Wages Payable			510					750
Note Payable (long-term)			1,600					500
Common Stock			4,900					4,900
Retained Earnings			3,260					2,200
		$	10,980				$	9,550
Income Statement
Service Revenue		$	39,700
Salaries and Wages Expense			37,200
Depreciation Expense			240
Income Tax Expense			1,200
Net Income		$	1,060

Additional Data:
a.	Bought new hockey equipment for cash, $490.
b.	Borrowed $1,100 cash from the bank during the year.
c.	Accounts Payable includes only purchases of services made on credit for operating purposes. Because there are no liability accounts relating to income tax, assume that this expense was fully paid in cash.

Required:
1.	Prepare the statement of cash flows for the current year ended December 31 using the direct method.(Amounts to be deducted should be indicated with a minus sign.)