QS 12-6 (Algo) Indirect: Computing cash from operations LO P2 MOSS COMPANY Income Statement For Year Ended December 31, 2021 Sales 574,000 Cost of goods sold 367,600 Gross profit 206,400 Operating expenses (excluding depreciation) 131,000 Depreciation expense 54,000 Income before taxes 21,400 Income taxes expense 11,800 Net income $9,600 MOSS COMPANY Selected Balance Sheet Information At December 31 2021 2020 Current assets Cash $ 93,650 35,800 Accounts receivable 34,000 50,000 Inventory 69,000 55,900 Current liabilities Accounts payable 48,400 34,700 Income taxes 2,950 4,000 payable Use the information above to calculate cash flows from operating activities using the indirect method (Amounts to be deducted should be indicated by a minus sign.) Cash flows from operating activities: Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash $ 54,000 Changes in current operating assets and liabilities