The following income statement and additional year-end information is provided.

SONAD COMPANY
Income Statement
For Year Ended December 31
Sales		$ 2,275,000
Cost of goods sold		1,114,750
Gross profit		1,160,250
Operating expenses
Salaries expense	$ 311,675
Depreciation expense	54,600
Rent expense	61,425
Amortization expensesPatents	6,825
Utilities expense	25,025	459,550
		700,700
Gain on sale of equipment		9,100
Net income		$ 709,800

Accounts receivable	$ 17,300 increase	Accounts payable	$ 10,800 decrease
Inventory	25,975 increase	Salaries payable	3,700 decrease

Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)

Statement of Cash Flows (partial)
Cash flows from operating activities
Adjustments to reconcile net income to net cash provided by operating activities
Income statement items not affecting cash
Changes in current operating assets and liabilities
	$0