MARTINEZ SA INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2022 Sales revenue R$6,900,000 Cost of goods sold Beginning inventory R$ 1,300,000 Purchases 4,200,000 Goods available for sale 5,500,000 Ending inventory 1,200,000 Cost of goods sold 4,300,000 Gross profit 2,600,000 Operating expenses Selling expenses 450,000 Administrative expenses 700,000 1,150,000 Net income R$ 1,450,000 Additional information: 1. Accounts receivable decreased R$360,000 during the year. 2. Prepaid expenses increased R$170,000 during the year. 3. Accounts payable to suppliers of merchandise decreased R$275,000 during the year. 4. Accrued expenses payable decreased R$ 100,000 during the year. 5. Administrative expenses include depreciation expense of R$60,000. Prepare the operating activities section of the statement of cash flows using the direct method