Portions of the financial statements for Parnell Company are provided below. 12 $722 PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 ($ in thousands) Revenues and gains: Sales $ 710 Gain on sale of building Expenses and loss: Cost of goods sold $255 Salaries 111 Insurance 31 Depreciation 114 Interest expense 41 Loss on sale of equipment Income before tax Income tax expense Net income 12 564 158 79 $ 79 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year 2021 2020 Cash $ 125 $ 109 Accounts receivable 315 225 Inventory 330 416 Prepaid insurance 67 79 Accounts payable 201 126 Salaries payable 120 102 Deferred tax liability 78 61 Bond discount 185 209 Change $ 16 90 (86) (12) 75 18 17 (24) Required: 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method. (Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Answer is not complete. 79 Cash Flows from Operating Activities: Net income Adjustments for noncash offects: Depreciation expenso Loss on sale of equipment Changes in operating assets and liabilities