Net Cash Flow From Operating Activities Verna Company's records provided the following information for 2019: a. decrease in accounts payable, $4,900 b. loss on sale of land, $1,400 C. Increase in Inventory, $7,900 d. Increase in income taxes payable, $2,900 e. net income, $69,600 f. patent amortization expense, $1,500 g. ordinary loss, $6,600 h. decrease in deferred taxes payable, $2,200 I. amortization of discount on bonds payable, 3. payment of cash dividends, $20,000 k. depletion expense, $5,300 1. decrease in salaries payable, $1,500 m. decrease in accounts receivable, $3,600 n. gain on sale of equipment, $6,000 o proceeds from issuance of stock, $64,000 p. ordinary gain, $3,200 9. depreciation expense, $13,000 r. amortization of discount on investment in bonds, $1,100 Required Prepare the operating activities section of Verna's 2019 statement of cash flows using the Indirect method. Use a minus sign to indicate cash outflows or decreases in cash. VERNA COMPANY Statement of Cash Flows (Partial) For Year Ended December 31, 2019 Operating Activities: Net income 69,600 Adjustment for noncash income items: Add: Depreciation expense Less: Patent amortization expense Less: Depletion expense Add: Gain on sale of equipment Less: Depreciation expense II m Adjustments for cash flow effects from working capital items: Add: Depreciation expense Less: Patent amortization expense Less: Depletion expense Add: Gain on sale of equipment Less: Depreciation expense Adjustments for cash flow effects from working capital items: H1 111