Presented below are the 2016 income statement and comparative balance sheets for Santana Industries. SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2016 ($ in thousands) 16,850 Sales revenue $ Service revenue 6,000 Total revenue $22,850 Operating expenses: Cost of goods sold Selling General and administrative 8,500 3,700 2,800 15,000 Total operating expenses Operating income Interest expense 7,850 330 Income before income taxes Income tax expense 7,520 3,800 Net income $ 3,720 Dec. 31, Dec. 31, Balance Sheet Information ($ in thousands) 2016 2015 Assets: Cash Accounts receivable Inventory Prepaid rent Plant and equipment Less: Accumulated depreciation $ 8,650 $ 3,370 5,100 3,500 6,600 4,300 280 560 17,100 14,600 (6,400) (5,800) Total assets $31,330 $20,530 Liabilities and Shareholders' Equity: Accounts payable Interest payable Deferred service revenue Income taxes payable Loan payable (due 12/31/2015) Common stock Retained earnings $ 4,000 $ 2,400 230 0 1,060 730 680 1,060 7,600 0 11,300 11,300 6,460 5,040 Total liabilities and shareholders' equity $31,330 $20,530 Additional information for the 2016 fiscal year ($ in thousands): 1. Cash dividends of $2,300 were declared and paid. 2. Equipment costing $6,600 was purchased with cash. 3. Equipment with a book value of $1.800 (cost of $4.100 less accumulated depreciation 3. Equipment with a book value of $1,800 (cost of $4,100 less accumulated depreciation of $2,300) was sold for $1,800. 4. Depreciation of $2,900 is included in operating expenses. Required: Prepare Santana Industries' 2016 statement of cash flows, using the indirect method to present cash flows from operating activities. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.) SANTANA INDUSTRIES Statement of Cash Flows For the Year Ended December 31, 2016 ($ in thousands)