The income statement for 2018 and comparative balance sheets of Daniel Divers for 2017 and 2018 appear below. Dividends totaling $51,200 were paid during the year. Equipment costing $21,500 with a book value of $19,200 was sold for $8,900 cash during the year.

	December 31
Assets	2018	2017
Cash	$ 56,800	$ 58,300
Accounts receivable	14,500	12,200
Merchandise inventories	22,600	30,000
Equipment	112,000	98,700
Accumulated depreciation	(35,600)	(28,400)
Total assets	$170,300	$170,800
Liabilities and Stockholders' Equity
Accounts payable	$ 31,500	$ 34,700
Income taxes payable	8,900	7,400
Long-term notes payable	46,700	52,300
Common stock, $0.50 par	37,600	32,100
Retained earnings	45,600	44,300
Total liabilities and stockholders' equity	$170,300	$170,800
Sales	$389,000
Cost of goods sold	178,000
Depreciation expense	24,000
Interest expense Other expenses	2,700 109,700
Gain on sale of equipment	6,600
Income taxes expense	28,700
Net income	$ 52,500

Prepare the operating activities section of the 2018 statement of cash flows using the indirect method. You may omit the statement heading.