Q2/

The income statement for Crane Limited is presented here:

CRANE LIMITED Income Statement Year Ended December 31, 2018
Service revenue			$930,000
Operating expenses			703,000
Income from operations			227,000
Interest expense			76,000
Income before income tax			151,000
Income tax expense			37,750
Net income			$113,250

Cranes statement of financial position contained these comparative data at December 31:

		2018			2017
Accounts receivable		$56,600			$46,800
Prepaid expenses		12,800			16,800
Accounts payable		35,900			40,200
Salaries payable		19,300			20,600
Unearned revenue		12,200			8,700
Interest payable		6,700			4,400
Income tax payable		4,500			8,750

Additional information:

1.		Operating expenses include depreciation expense, $46,000; amortization expense, $17,000; administrative expenses, $112,000; salaries expense, $504,000; and loss on the disposal of equipment, $24,000.
2.		Unearned revenue is received from customers.
3.		Prepaid expenses and accounts payable relate to operating (administrative) expenses.

(a1) Prepare the operating activities section of the statement of cash flows, 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).)

CRANE LIMITED Statement of Cash Flows (Partial)-Indirect Method December 31, 2018Month Ended December 31, 2018Year Ended December 31, 2018Year Ended December 31, 2018Month Ended December 31, 2018December 31, 2018
Operating activities
Decrease in accounts receivableIncrease in unearned revenueDecrease in income tax payableIncrease in salaries payableNet incomeIncrease in interest payableAmortization expenseIncrease in accounts payableDecrease in salaries payableDecrease in unearned revenueIncrease in interest payableAmortization expenseIncrease in prepaid expensesDecrease in interest payableAmortization of bond premiumDecrease in accounts payableDecrease in prepaid expensesDepreciation expenseDecrease in interest payableAmortization of bond premiumLossLoss on sale of equipmentIncrease in accrued liabilitiesIncrease in accounts receivableIncrease in income tax payableDecrease in accrued liabilitiesLossLoss on sale of equipmentIncrease in accrued liabilitiesLossLoss on sale of equipmentIncrease in accrued liabilitiesIncrease in income tax payableDecrease in accrued liabilitiesNet incomeDepreciationexpenseDecrease in accounts receivableIncrease in accounts receivableIncrease in salaries payableDecrease in salaries payableIncrease in prepaid expensesDecrease in prepaid expensesDecrease in accounts payableIncrease in accounts payableIncrease in unearned revenueDecrease in unearned revenueLossIncrease in income tax payableDecrease in income tax payableIncrease in interest payableDecrease in interest payableLoss on sale of equipmentAmortizationexpenseAmortization of bond premiumIncrease in accrued liabilitiesDecrease in accrued liabilities Adjustments to reconcile net income to		$