The following income statement and additional year-end information is provided

The following income statement and additional year-end information is provided. 
SONAD COMPANY Income Statement 
For Year Ended December 31 Sales $2,208,000 Cost of goods sold 1,081,920 Gross profit 1,126,080 Operating expenses Salaries expense $302,496 Depreciation expense 52,992 Rent expense 59,616 Amortization expenses—Patents 6,624 Utilities expense 24,288 446,016 680,064 Gain on sale of equipment 8,832 Net income $ 688,896 
Accounts receivable $18,200 increase Accounts payable $8,450 decrease 
Inventory 
26,800 increase Salaries payable 3,850 decrease 
Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) 
Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash