%) $$. Problem 23-06 Comparative balance sheet accounts of Riverbed Inc. are presented below. RIVERBED INC. COMPARATIVE BALANCE SHEET ACCOUNTS AS OF DECEMBER 31, 2020 AND 2019 December 31 Debit Accounts 2020 2019 Cash $41,700 $33,500 Accounts Receivable 69,000 59,800 Inventory 30.000 24,200 Equity Investments 22,400 38,100 Machinery 30,100 18,800 Buildings 67.400 56,700 Land 7,600 7,500 $269,100 $238,700 Credit Accounts Allowance for Doubtful Accounts $2,200 $1,500 Accumulated Deprecation-Machinery 5,500 2,300 Accumulated Depreciation-Buildings 13,400 8,900 Accounts Payable 35,200 24,700 Accrued Payables 3,400 2,600 Long-Term Notes Payable 21,300 31,300 Common Stock, na-par 150,000 125,000 Retained Earnings 38.100 42,400 $269,100 $228.700 Additional data (ignoring taxes): 1. Net income for the year was $41,700. 2. Cash dividends declared and paid during the year were $21,000. 3. A 20% stock dividend was dedared during the year. $25,000 of retained earnings was capitalized. 5. Machinery that cost $3,800, on which $750 of had accumulated, was sold for $2,250. Riverbed's 2020 Income statement follows (ignoring taxes). Sales revenue $535.400 Less: Cost of goods sold 376,600 Gross margin 159,800 Less: Operating expenses (includes $3,450 depreciation and $5.377 bad debts) 120,100 Income from operations 29.700 Other: Gain on sale of investments 53.800 Loss on sale of machinery (800) 3,000 Net Income $41,700 (a) Compute net cash flow from cperating activities using the direct method. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e... (45).) Net cash flow from operating activities (b) Frepare a statement of cash fows using the indirect method. (Show amounts that decrease cash flow with either a sign e.g. 15,000 or in parenthesis e.g. (15,000).) RIVERBED INC. Statement of Cash Flows (Indirect Method) Cash Flows from Operating Activities 41700 Net Income Acjustments to reconcile net income to