The following information pertains to Peak Heights Company:

Required:

Present the operating activities section of the statement of cash flows for Peak Heights Company using the indirect method. Note: List cash outflows as negative amounts.

$\backslash$table$[[$PEAK HEIGHTS COMPANY$],[$Statement of Cash Flows $($Partial$)],[$Cash flows from operating activities:,$],[$Net income,$],[$Depreciation expense,$16,625],[$Accounts receivable decrease,$7,600],[$Inventory increase,$5,500],[$Salaries payable increase,$(2,800)$