How do you prepare the operating activities section only assuming the direct method is used

The Statement of Cash Flows- Homework Handout Forten Company Comparative Balance Sheet December 31, 2017 and 2016 2017 2016 Assets 65,810 50,625 251,800 1,875 377,800 108,000 Inventory 1,250 Liabilities & Equity 6,000 120,675 48,750 169,425 Total current liabilities. 63,141 65,000 Equity 150,250 Paid-in capital in excess of par, Common Retained earnings. 37,500 185,000 $513,391 120,125 $439,800 The Statement of Cash Flows- Homework Handout PROBLEM 16-3A (pages 706 in Fundamental Accounting Principles, 23 ed.) Forten Company, a merchandiser, recently completed its calendar-year 2017 operations. For the year 1. all sales are credit sales, 2. all credits to Accounts Receivable reflect cash receipts from customers, 3. all purchases of inventory are on credit, 4. all debits to Accounts Payable reflect cash payments for inventory, and 5. Other Expenses are paid in advance and are initially debited to Prepaid Expenses. During 2015 the following transactions occurred The loss on the cash sale of equipment was $5,125 (details in b). b. a. Sold equipment costing $46,875, with accumulated depreciation of $30,125, for $11,625 cash c. Purchased equipment costing $96,375 by paying $30,000 cash and signing a long-term note payable for the balance. d. Borrowed $4,000 cash by signing a short-term note payable. e. Paid $50,125 cash to reduce the long-term notes payable. f. Issued 2,500 shares of common stock for $20 cash per share. g. Dedlared and paid cash dividends of $50,100. The company's income statement and balance sheets follow. Forten Company Income Statement For Year Ended December 31, 2017 Sales... $582,500 285,000 297.500 Operating expenses: 20,750 Other expenses.. 132,400153,150 Other gains/(losses) Loss on sale of equipment.. 125 139,225 24250 Income tax expense...* Net income. $114975