LAG Network Inc.'s balance sheet and income statement are as follows: $ 922,620 55e,20 $ 372,420 LAG Network Inc. Income Statement For Year Ended December 31, 2020 Sales Cost of goods sold Gross profit Operating expenses: Depreciation expense $ 25, 20e Other expenses 226, see Total operating expenses Profit from operations Income taxes Profit 252, ese $ 107,88 LAG Network Inc. Comparative Balance Sheet Information December 31 2020 2019 81,130 $ 53,280 Accounts receivable 40,480 37,28 Merchandise inventory 283,778 238,680 Equipment 148, 480 137,28 Accumulated depreciation (65,880) (48,62e) Total assets $ 487,98 $ 425,620 Liabilities and Equity Accounts payable $ 25, 280 $ 37,88 ome taxes payable 5.6ee 4. zee Cormon shares 357, Bee 346, see Retained earnings 37, 120 Total liabilities and equity $ 487,980 $425,62e Additional information regarding LAG Network Inc.'s activities during 2020: a. Equipment is purchased for $11.200 cash. b. 4,200 common shares are issued for cash at $2.50 per share. c. Declared and paid $44.800 of cash dividends during the year. Other information regarding LAG Network Inc.: a. All sales are credit sales. b. All credits to accounts receivable are receipts from customers. C. All purchases of merchandise are on credit d. All debits to accounts payable result from payments for merchandise. e. Other operating expenses are cash expenses f. The only decrease in income taxes payable is for payment of taxes. Required: Prepare a statement of cash flows for 2020 using the direct method to report cash inflows and outflows from operating activities. (List any deduction In cash and cash outflows as negative amounts.) LAG NETWORK INC. Statement of Cash Flows For Year Ended December 31, 2020 Cash flows from operating activities