The following information pertains to Peak Heights Company: Income Statement for Current Year Sales Expenses Cost of goods sold Depreciation expense Salaries expense Net income $ 86,200 $ 51,775 7,400 10,900 70,075 $ 16,125 Partial Balance Sheet Current year Accounts receivable Inventory Salaries payable $ 9,800 13,800 1,610 Prior year $ 14,200 9,500 910 Required: Present the operating activities section of the statement of cash flows for Peak Heights Company using the direct method. All inventory purchases are paid with cash, and the balance in accounts payable is zero for both the current and prior years. Note: List cash outflows as negative amounts. Answer is complete but not entirely correct. PEAK HEIGHTS COMPANY Statement of Cash Flows (Partial) Cash flows from operating activities: Cash collected from customers $ 90,600 Cash payments to suppliers of inventory Cash payments to employees 56,075 8,380 Net cash provided by operating activities $155,055