Why are these incorrect?

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following nancial data. BUSINESS SOLUTIONS Income Statement For Three Honths Ended latch 31, 2020 Computer services revenue $24,407 Net sales 17,793 Total revenue 42,200 Cost of goods sold $14,252 Depreciation expenseOffice equipment 390 Depreciation expenseComputer equipment 1,190 Wages expense 2,950 Insurance expense 555 Rent expense 1,475 Computer supplies expense 1,265 Advertising expense 540 Mileage expense 290 Repairs expenseComputer 920 Total expenses 23,907 Net income $13,393 BUSINESS SOLUTIONS Comparative Balance Sheets December 31r 2019, and March 31r 2020 Mar. 31, 2020 Dec. 31, 2019 Assets Cash $ 77,397 $53,402 Accounts receivable 23,667 4,763 Inventory 654 0 Computer supplies 2,095 590 Prepaid insurance 1,050 1,645 Prepaid rent 735 735 Total current assets 105,573 66,130 Office equipment 7,100 7,100 Accumulated depreciationOffice equipment (760} (330) Computer equipment 19,700 19,700 Accumulated depreciationComputer equipment {2,360} (1,190} Total assets $129,253 $91,370 Liabilities and Equity Accounts payable $ 0 $ 1,160 Wages payable 905 550 Unearned computer service revenue 0 1,900 Total current liabilities 905 3,610 Equity Common stock 107,000 30,000 Retained earnings 21,353 7,760 Total liabilities and equity $129,253 $91,370 Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $27,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $4,800 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.) * Answer is complete but not entirely correct. BUSINESS SOLUTIONS Statement of Cash Flows (Indirect) For Quarter Ended March 31, 2020 Cash flows from operating activities Net income $ 18,393 Adjustments to reconcile net income to net cash provided by operating activities Increase in accounts receivable O (18,899) Increase in inventory (654) Increase in computer supplies (1,505) Decrease in prepaid insurance 595 Decrease in accounts payable (1, 160) Increase in wages payable 355 Decrease in unearned computer service revenue (2,000) x Depreciation expense-Office equipment 400 x Depreciation expense-Computer equipment 1,080 X Net cash used by operating activities $ (3,395) Cash flows from investing activities Net cash used in investing activities Cash flows from financing activities Cash received from stock issuance 34,000 X Cash paid for dividends (3,900) x Net cash provided by financing activities 30, 100 Net increase in cash $ 26,705 Cash balance at December 31, 2019 65,542 X Cash balance at March 31, 2020 $ 82,247