The income statement disclosed the following items for the year:

Depreciation expense $$59,200$

Gain on disposal of equipment $34,540$

Net income $393,800$

The changes in the current asset and liability accounts for the year are as follows:

Increase

$($Decrease$)$

Accounts receivable $$9,220$

Inventory $(5,250)$

Prepaid insurance $(1,970)$

Accounts payable $(6,250)$

Income taxes payable $1,970$

Dividends payable $1,380$

Question Content Area

a$.$ Prepare the Cash Flows from $($used for$)$ Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

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Statement of Cash Flows $($partial$)$

Cash flows from $($used for$)$ operating activities:

Net income

$Net income

$393,800$

Adjustments to reconcile net income to net cash flows from $($used for$)$ operating activities:

Depreciation expense

Depreciation expense

$59,200$

Gain on disposal of equipment

Gain on disposal of equipment

$34,540$

Changes in current operating assets and liabilities:

Increase in accounts receivable

Increase in accounts receivable

$-9,220$

Decrease in inventory

Decrease in inventory

$5,250$

Decrease in prepaid insurance

Decrease in prepaid insurance

$1,970$

Decrease in accounts payable

Decrease in accounts payable

$-6,250$

Increase in income taxes payable

Increase in income taxes payable

$1,970$

Net cash flows from operating activities $fill in the blank a$4$c$67200101$ff$98\_17$

$480,910$