Portions of the financial statements for Parnell Company are provided below.

PARNELL COMPANY Income Statement For the Year Ended December 31, 2018 ($ in 000s)
Revenues and gains:
Sales	$	750
Gain on sale of buildings		11		$	761
Expenses and loss:
Cost of goods sold	$	275
Salaries		115
Insurance		35
Depreciation		118
Interest expense		45
Loss on sale of machinery		13			601
Income before tax					160
Income tax expense					80
Net income				$	80

PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2018 and 2017 ($ in 000s)
	Year
		2018			2017		Change
Cash	$	129		$	105		$	24
Accounts receivable		319			221			98
Inventory		326			420			(94	)
Prepaid insurance		71			83			(12	)
Accounts payable		205			122			83
Salaries payable		112			98			14
Deferred income tax liability		70			57			13
Bond discount		180			205			(25	)

2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method.