Portions of the financial statements for Clear Transmissions Company are provided below.

CLEAR TRANSMISSIONS COMPANY Income Statement For the Year Ended December 31, 2016 ($ in 000s)

Sales $ 1,320 Cost of goods sold 500 Gross margin 820 Salaries expense $ 220 Depreciation expense 180 Patent amortization expense 10 Interest expense 40 Loss on sale of cash equivalents 6 456 Income before taxes 364 Income tax expense 182 Net Income $ 182 CLEAR TRANSMISSIONS COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2016 and 2015 ($ in 000s) Year 2016 2015 Change Cash $ 102 $ 100 $ 2 Accounts receivable 220 232 (12 ) Inventory 440 450 (10 ) Accounts payable 140 134 6 Salaries payable 80 86 (6 ) Interest payable 25 20 5 Income taxes payable 15 10 5 Required: Prepare the cash flows from operating activities section of the statement of cash flows for Clear Transmissions Company using the direct method.