Required Information The following information applies to the questions displayed below.] Portions of the financial statements for Parnell Company are provided below. 1860 PARNELL COMPANY Income Statement For the Year Ended December 31, 2821 (5 in thousands) Revenues and gains Sales Sgse Gain on sale of building 10 Expenses and loss: Cost of goods sold $ 325 Salaries 125 Insurance 45 Depreciation 125 Interest expense 55 Loss on sale of equipment 12 Income before tax Income tax expense Net income 69e 17e 85 $85 PARNELL COMPANY Selected Accounts for comparative Balance Sheets December 31, 2021 and zeze ($ in thousands) Year 2021 202e Cash 5 144 $ 95 Accounts receivable 334 2017 211 Inventory 316 435 Prepaid insurance 98 Accounts payable 22e 112 Salaries payable 88 Deferred tax liability ze 57 Bond discount 185 210 Change $ 123 (119) (37) 188 24 13 (25) Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the direct method. (Enter your answers in thousands (ie. 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus slgn.) Cash Flows from Operating Activities Net cash flows from operaling activities Required Information [The following information applies to the questions displayed below.) Portions of the financial statements for Parnell Company are provided below. ste PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 (5 in thousands) Revenues and gains: Sales $ sse Gain on sale of building 10 Expenses and loss: Cost of goods sold $325 Salaries 125 Insurance 45 Depreciation 128 Interest expense 55 Loss on sale of equipment 12 Income before tax Income tax expense Net income 690 170 95 8 PARNELL COMPANY Selected Accounts from comparative Balance Sheets December 31, 2021 and 2028 ($ in thousands) Year 2021 2020 cash $ 144 5 95 Accounts receivable 334 211 Inventory 316 435 Prepaid insurance 98 Accounts payable 220 112 Salaries payable 112 88 Deferred tax liability 7e 52 Bond discount 185 210 Change $ 49 123 (119) (37) 108 24 13 (25) Required 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method. (Enter your answers in thousands (1.e., 10.000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities Adjustments for noncash effects Changes in operating assets and liabilities: Nel cash flows from operating activities