Zumbrunn Companys income statement contained the condensed information below.

ZUMBRUNN COMPANY Income Statement For the Year Ended December 31, 2017
Service revenue				$971,100
Operating expenses, excluding depreciation		$624,900
Depreciation expense		55,600
Loss on disposal of equipment		24,700		705,200
Income before income taxes				265,900
Income tax expense				39,600
Net income				$226,300

Zumbrunns balance sheet contained the comparative data at December 31, shown below.

		2017		2016
Accounts receivable		$74,800		$59,700
Accounts payable		41,000		27,700
Income taxes payable		10,500		6,300

Accounts payable pertain to operating expenses. Prepare the operating activities section of the statement of cash flows using the direct method.

ZUMBRUNN COMPANY Partial Statement of Cash Flows