Problem - Using the following data, how do you prepare the operting activities section of the statement of cash flows for Birdeye Corporation for the year eneded December 31, 2016 using the indirect method:
Increase in salary payable - $1,500
Decrease in accounts payable - $2,000
Increase in accounts receivable - $3,500
Net income - $98,000
Decrease in inventory - $5,800
Increase in prepaid expenses - $1,200
Depreciation expense-equipment - $5,000
Depreciation expense-building -$7,500
Gain on sale of equipment - $1,300
Loss on sale of patent - $2,500