The following income statement and additional year-end information is provided. $2,406,000 1,178,940 1,227,060 SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $329,622 Depreciation expense 57,744 Rent expense 64,962 Amortization expenses-Patents 7,218 Utilities expense 26,466 Gain on sale of equipment Net income 486,012 741,048 9,624 $ 750,672 Accounts receivable Inventory $49,750 increase 15,400 increase Accounts payable Salaries payable $11,025 decrease 5,750 decrease 5 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 Flown (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash