Question 1: Podracer Productions provides the following income statement for the year ended December 31, 2017. Income Statement Sales Interest revenue Cost of goods sold General expenses Depreciation expense Salaries expense Interest expense Income tax expense Loss on sale of equipment Net income $1,530,600 17,250 (895,400) (255,400) (23,500) (114,300) (12,500) (85,500) (9,500) $ 151,750 In addition, Podracer provides the following balance sheet information Dec 31, 2017 Accounts Receivable $250,400 Interest Receivable 2,100 Inventory 74,300 Prepaid General Expenses 17,600 Account Payable 39,500 Accrued General Expenses 19,500 Interest Payable 900 Income Tax Payable 11,500 Salaries Payable 9,850 Dec. 31, 2016 $225,400 2,250 59,550 14,000 46,300 21,750 1,100 9,750 5,400 Prepare the operating Activities section of the statement of cash flows using the direct method