The income statement of Runge Inc. for the year ended December 31, 2010, reported the following condensed information:
Revenue from fees .................................................................. $600,000
Operating expenses .................................................................. 360,000
Income from operations ........................................................... 240,000
Income tax expense ................................................................. 60,000
Net income .............................................................................. $180,000
Runge's balance sheet contained the following comparative data at December 31:

Runge has no depreciable assets. Accounts payable pertains to operating expenses.
Instructions
Prepare the operating activities section of the statement of cash flows using the direct method.