The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense $333,595 Depreciation expense 58,440 Rent expense 65,745 Amortization expenses-Patents 7,305 Utilities expense 26,785 $2,435,000 1,193,150 1,241,850 Gain on sale of equipment Net income 491,870 749,980 9,740 759,720 $ Accounts receivable Inventory $40,350 increase 27,750 increase Accounts payable Salaries payable $9,325 decrease 2,800 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) 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