Retzlaff Company"s income statement contained the condensed information below.

RETZLAFF COMPANY
Income Statement
For the Year Ended December 31, 2012

Revenues

$970,000

Operating expenses, excluding depreciation

$614,000

Depreciation expense

55,000

Loss on sale of equipment

16,000

685,000

Income before income taxes

285,000

Income tax expense

56,000

Net income

$229,000

Retzlaff"s balance sheet contained the comparative data at December 31.

2012

2011

Accounts receivable

$70,000

$60,000

Accounts payable

41,000

32,000

Income taxes payable

13,000

7,000

Accounts payable pertain to operating expenses.

Instructions

Prepare the operating activities section of the statement of cash flows using the indirect method.

"Get 15% discount on your first 3 orders with us"
Use the following coupon
"FIRST15"

Order Now