The net income reported on the income statement for the current year was $151,300. Depreciation recorded on store equipment for the year amounted to $25,000. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows:

	End of Year		Beginning of Year
Cash	$57,490		$52,320
Accounts receivable (net)	41,220		38,660
Merchandise inventory	56,280		58,860
Prepaid expenses	6,320		4,970
Accounts payable (merchandise creditors)	53,870		49,490
Wages payable	29,430		32,330

a. Prepare the Cash Flows from 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.

Statement of Cash Flows (partial)
Cash flows from operating activities:
	$
Adjustments to reconcile net income to net cash flow from operating activities:
Changes in current operating assets and liabilities:
Net cash flow from operating activities		$

b. Cash flows from operating activities differs from net income because it does not use the of accounting. For example revenues are recorded on the income statement when .