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The following income statement along with additional year-end information about changes in noncash current assets and current liabilities are reported. $1,828,000 991,000 837,000 SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $245,535 Depreciation expense 44,200 Rent expense 49,600 Amortization expense-Patents 4,200 Utilities expense 18,125 Gain on sale of equipment Net income 361, 660 475,340 6.200 $ 481,540 Additional Year-End Balance Sheet Data Accounts receivable $30,500 increase Inventory 25,000 Increase Accounts payable 12,500 decrease Salaries payable 3,500 decrease munca ve ucuucity onvuru uc muncuLCU WILT TUO Olyil. Statement of Cash Flows (partial) Cash flows from operating activities Net income $ 481,540 Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Gain on sale of equipment (6,200) Depreciation expense 44,200 Amortization expense-Patents 4,200 Changes in current operating assets and liabilities Increase in inventory Decrease in accounts payable Decrease in salaries payable Increase in accounts receivable (25,000) (12,500) (3,500) (30,500) x $ 452,240