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[The following information applies to the questions displayed below.) Lansing Company's current-year income statement and selected balance sheet data at December 31 of the current and prior years follow LANSING COMPANY Income Statement For Current Year Ended December 31 Sales revenue $ 142,200 Expenses Cost of goods sold 57,000 Depreciation expense 19,500 Salarios expense 33,000 Rent expense 10,500 Insurance expense 5,300 Interest expense 5, 100 Utilities expense 4.300 Net income $7,500 LANSING COMPANY Selected Balance Sheet Racounts At December 31 Current Year Prior Year Accounts receivable $7.100 $8,800 Inventory 3,480 2,290 Accounts payable 5,900 7.600 Salaries payable 1,180 850 Utilities payable 310 Prepaid insurance 410 580 Prepaid rent 520 330 520 Required: Prepare the operating activities section of the statement of cash flows using the indirect method for the current year (Amounts to be deducted should be indicated with a minus sign.) LANSING COMPANY Cash Flows from Operating Activities Indirect Method For Current Year Ended December 31 Cash flows from operating activities $ 7,500 Decrease in accounts payable Decrease in accounts receivable Decrease in inventory Decrease in prepaid insurance L. Creuse couns recue Decrease in accounts payable Decrease in accounts payable Increase in salaries payable Increase in utilities payable Decrease in prepaid insurance Increase in prepaid rent $ 7,500 LANSING COMPANY Cash Flows from Operating Activities-Indirect Method For Current Year Ended December 31 Cash flows from operating activities Net income Adjustments to reconcile net income to net cash provided by operations Income statement items not affecting cash Depreciation expense Changes in current assets and current liabilities Increase in inventory Decrease in accounts receivable Decrease in accounts payable Decrease in accounts payable Increase in salaries payable Increase in utilities payable Decrease in prepaid insurance Increase in prepaid rent 0