Question 3 (30 marks) Elizabeth Corporation manufactures food processing equipment. The given information includes the balance sheet and income statement of the company. Notes to the firm's financial statements reveal the following: a) Depreciation expense was $641 in year 2018. No fixed assets were sold during these years b) Other Non-current Assets represents patents (net value). Patent amortization was $25 in 2018. c) Changes in Deferred Income Taxes and Other current liabilities are operating activities Balance Sheet 2018 2017 Income Statement 2018 Assets Sales 22,833 Cash 475 430 Account Receivable 3,936 3,768 (16,518) 6,315 Inventories 2.966 2,334 270 116 Cost of goods sold Gross Profit Selling and administrative expense Interest expense Profit before tax Prepayments Property, plant and equipment (net) Other non-current assets (4,849) 4.598 3,806 (459) 559 193 1,007 Total Assets 12,804 10,647 Income Tax expense (590) Liabilities Net Income 417 809 1,578 231 11 (12) Dividends in preferred stocks 777 1,076 Account payable Short-term note payable Other current liabilities Long-term debt Deferred income taxes Total Liabilities 4,692 2,353 89 126 6,598 5,144 4,477 4,468 289 0 Equity Common stocks Preferred stocks Retained Earnings Total Shareholder's Equity Total Liabilities and Equity 1,440 1,035 5,503 6,206 12,804 10,647 Prepare the section of Cash flows from Operating activity using indirect method