Prepare the operating activities section of the statement of cash flows for 2014. Use the indirect method.

The current sections of Sanford Inc.%u2019s balance sheets at December 31, 2013 and 2014, are presented here. Sanford%u2019s net income for 2014 was $153,000. Depreciation expense was $27,000.

Prepare the operating activities section%u2014indirect method.

	2014	2013
Current assets
Cash	$105,000	$ 99,000
Accounts receivable	80,000	89,000
Inventory	168,000	172,000
Prepaid expenses	27,000	22,000
Total current assets	$380,000	$382,000
Current liabilities
Accrued expenses payable	$ 15,000	$%u2002%u20025,000
Accounts payable	85,000	92,000
Total current liabilities	$100,000	$ 97,000