Lincoln Company owns no plant assets and reported the following income statement for the current year: Sales $750,000 Cost of goods sold $470,000 Wages expense 110,000 Rent expense 42,000 Insurance expense 15,000 637,000 Net income $113,000 End of Year Beg. of Year Accounts receivable $54,000 $49,000 Inventory 60,000 66,000 Prepaid insurance 8,000 7,000 Accounts payable 22,000 18,000 Wages payable 9,000 11,000 Calculate the net cash flow from operating activities using the direct method. Show a related cash flow for each revenue and expense. Cash Flows from Operating Activities (Direct Method) Cash Received from Customers $ 745,000 Cash Paid for Merchandise Purchased $ 460,000 Cash Paid to Employees 112,000 Cash Paid for Rent 42,000 Cash Paid for Insurance 16,000 (1,000) x Net Cash Provided by Operating Activities $ 115,000