Prepare cash from operating activities section of statement of cash flows using the direct method. (LO 4). Use the income statement for Hargrove Dynamics, Inc., for the past year ended December 31, 2011, and the information from the comparative balance sheets shown for the beginning and the end of the year to prepare the cash from operating activities section of the statement of cash flows using the direct method. Prepare cash from operating activities section of statement of cash flows using the indirect method. (LO 5). Use the information from E9-21A to prepare the cash from operating activities section of the statement of cash flows using the indirect method. Then, compare it with the statement you prepared for E9-21A. What are the similarities? What are the differences? Which statement do you find most informative