Lansing Company's 2017 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2016 and 2017, follow. LANSING COMPANY Income Statement For Year Ended December 31, 2017 Sales revenue $121,200 Expenses Cost of goods sold 50,000 Depreciation expense 16,000 Salaries expense 26,000 Rent expense 9,800 Insurance expense 4,600 Interest expense 4,400 Utilities expense 3,600 Net income $ 6,800 LANSING COMPANY Selected Balance Sheet Accounts At December 31 2017 Accounts receivable $ 6, 400 Inventory 2, 780 Accounts payable 5, 200 Salaries payable 1,040 Utilities payable 380 Prepaid insurance 340 Prepaid rent 380 2016 $ 7,400 1,940 6, 200 780 240 440 260 Required: Prepare the cash flows from operating activities section only of the company's 2017 statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.) LANSING COMPANY Cash Flows from Operating ActivitiesDirect Method For Year Ended December 31, 2017 Cash flows from operating activities Increase in prepaid insurance $ 6,800 Decrease in prepaid insurance 100 Depreciation expense 16,000 Increase in accounts receivable 1,000 Increase in inventory (840) Decrease in accounts receivable (1,000) Increase in salaries payable 260 Increase in prepaid rent (120) $ 22,200