The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales $ 2,378,000 Cost of goods sold 1,165,220 Gross profit 1,212,780 Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense Gain on sale of equipment Net income $ 325,786 57,072 64,206 7,134 26,158 480,356 732,424 9,512 $ 741,936 Accounts receivable Inventory $ 29,450 increase Accounts payable 23,800 increase Salaries payable $ 11,225 decrease 1,050 decrease Prepare the operating activities section of the statement of cash flows using the direct method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (Partial) Cash flows from operating activities EA 0