KLM Corp has the following financial data for the year ended December 31, 2027:

Item	Amount ($)
Sales	9,600,000
Cost of goods sold	5,760,000
Selling expenses	960,000
Administrative expenses	240,000
Interest expense	100,000
Gain on sale of equipment	60,000
Income tax expense	200,000

Additional information:

1. Depreciation of $300,000 is included in selling expenses and $100,000 in administrative expenses.
2. Equipment was sold for $800,000 cash during the year. The equipment had originally cost $900,000 and had a carrying value of $740,000.
3. New equipment was purchased for $400,000 cash.
4. Dividends of $400,000 were declared and paid.
5. Purchased 1,200 treasury shares for $120,000.

Requirements:

1. Compute the cash flows from operating activities.
2. Determine the cash flows from investing activities.
3. Calculate the cash flows from financing activities.
4. Identify the ending cash balance.
5. Prepare a reconciliation of net income to net cash provided by operating activities.