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Cash Flows from Operating Activities-Indirect-Method The nes income reported on the income statement for the current year was $73,600. Depreciation recorded on store equipment for the year amounted to \$27,400. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: a. Prepare the Cash Flows from Operating Activities section of the statement of cash fiows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments: Statement of Cash Flows (partial) Yeceseck s Check My Werk b. Cash flows from operating activities differs from net income because it does not use the recorded on the income statement when