Problem 21-8 Cash flows from operating activities (direct method and indirect method)-deferred income tax liability and amortization of bond discount LO21-3, 21 4] Partions of the financial stataments for Pamall Company are provided below Income State ment Far the Year Ended December 31, 2016 3 in 000s) Revenues and gains Gain an sale of buidings 10 890 Expenses and loss: Cost of goods sold 5340 128 Insuranca Depreciation Interest expense Loss an sale of machinery 131 13 718 Income bafore tax 172 86 Income tax xpens Net incoma S 96 PARNELL Selected Accounts from Comparative Balance Sheets December 31, 2016 and 2015 S in 030s) Cach Accounts receivable 2016 2015 $92 203 Change $58 132 150 340 313 58 (45) 104 103 Prepaid insurance Accounts payable Salaries payable Deferred income ta liability 118 16 Band discaunt 182 1. Prepare the cash flows from operating activities section of the statement of cash fows for Pamell Company using the drect method. Enter your answers in thousands Le-5,000 should be entered s 5). Amuts to be deducted should be indicated with a minus sign.) Cat Fiows from Operafing Activities Net cash lusfrom operating aclivities 2. Prapars the cash flaws from operating activities section of the statement of cash flsfor Pamall Company using the indirect method. Enter your answers in thousands ( 5,000 should be entered as 5). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operatng Aclivities. Adyustments for noncash effects Changes in gperating assets and iabilties