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

SONAD COMPANY Income Statement For Year Ended December 31
Sales				$	2,067,000
Cost of goods sold					1,012,830
Gross profit					1,054,170
Operating expenses
Salaries expense	$	283,179
Depreciation expense		49,608
Rent expense		55,809
Amortization expensesPatents		6,201
Utilities expense		22,737			417,534
					636,636
Gain on sale of equipment					8,268
Net income				$	644,904

Accounts receivable	$	37,750		increase		Accounts payable	$	9,950		decrease
Inventory		28,000		increase		Salaries payable		1,850		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