Part 2 of 2 Required information [The following information applies to the questions displayed below.) Portions of the financial statements for Parnell Company are provided below. 5 points eBook References $882 PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 (s in thousands) Revenues and gains: Sales $870 Gain on sale of building 12 Expenses and loss: Cost of goods sold $335 Salaries 127 Insurance 47 Depreciation 130 Interest expense 57 Loss on sale of equipment 12 Income before Income tax expense Net income 788 174 87 $ 87 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets hann html?_con-con&external_browser08 M Connect hapter 21 homework CHome Chegge Saved Help 19 Cost of goods sold Salaries Insurance Depreciation Interest expense Loss on sale of equipment Income before tax Income tax expense Net income $335 127 47 130 57 12 rt 2 of 2 708 174 87 $ 87 ts eBook erences PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year 2021 2020 Cash $ 148 $ 93 Accounts receivable 338 209 Inventory 314 439 Prepaid insurance 59 102 Accounts payable 224 110 Salaries payable 116 86 Deferred tax liability 74 59 Bond discount 183 214 Change $ 55 129 (125) (43) 114 30 15 (31) Required: 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company Part 2 of 2 Required: 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method. (Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Answer is not complete. 5 points Cash Flows from Operating Activities: Net income Adjustments for noncash effects: Depreciation expense Gain on sale of building Loss on sale of equipment Changes in operating assets and liabilities: Increase in accounts receivable Decrease in inventory Increase in accounts payable 00 method. (Enter your answers in thousands (i.e., 10,000 sl with a minus sign.) X Answer is not complete. Cash Flows from Operating Activities: Net income Adjustments for noncash effects: Depreciation expense Gain on sale of building Loss on sale of equipment Changes in operating assets and liabilities: Increase in accounts receivable Decrease in inventory Increase in accounts payable Increase in salaries payable Decrease in prepaid insurance Increase in deferred tax liability