The income statement of Blue Company is shown below BLUE COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31,2017 $7,120,000 Sales revenue Cost of goods sold $1,980,000 Beginning inventory 4,500,000 Purchases Goods available for sale 6,480,000 Ending inventory 1,660,000 Cost of goods sold 4,820,000 2,300,000 Gross profit Operating expenses Selling expenses 400,000 Administrative expenses 720,000 1,120,000 $1,180,000 Net income Additional information Accounts receivable decreased $300,000 during the year. Prepaid expenses increased $150,000 during the year. 1. 2. Accounts payable to suppliers of merchandise decreased $250,000 during the year. 3. Accrued expenses payable decreased $120,000 during the year. 4. 5. Administrative expenses include depreciation expense of $60,000 Prepare the operating activities section of the statement of cash flows for the year ended December 31,2017, for Blue Company, using the indirect method. (Show amounts that decrease cash flow with either a -sign eg.-15,000 or in parenthesis e.g. (15,000)) BLUE COMPANY Statement of Cash Flows (Partial) Adjustments to reconcile net income to