The Income Statement and a Partial Balance Sheet of Hart

The income statement and a partial balance sheet of Hart Alloy Company for the year ended December 31,2018 is presented below.Prepare the operating activities section of the statement of cash flows using the direct method.Accrued Liabilities relate to miscellaneous operating expenses.
$\begin{array}{llr}&\text { Hart Alloy Company}\\&\text { Income Statement}\\&\text { For the Year Ended December 31, 2018}&\\\text { Sales Revenues } && \$ 1,500,000 \\\text { Cost of Goods Sold } && 1,170,000 \\\text { Gross Profit } && \$ 330,000\end{array}$
Operating Expenses:
$\begin{array}{ll}\text { Salaries Expense } & \$ 210,000 \\\text { Depreciation Expense } & 60,000 \\\text { Miscellaneous Expenses } & \underline{30,000}& \underline{300,000}\\\text { Net Income } && \underline{\$30,000}\end{array}$ $\begin{array}{c}\text { Hart Alloy Company}\\\text { Partial Balance Sheet}\\\text { December 31,2018 and 2017}\\\begin{array}{lll}&2018&2017\\\text { Cash } & \$ 240,000 & \$ 195,000 \\\text { Accounts Receivable (net) } & 150,000 & 150,000 \\\text { Inventories } & 306,000 & 258,000 \\\text { Accrued Liabilities } & 13,500 & 15,000 \\\text { Accounts Payable (Merchandise Inventory) } & 174,000 & 153,000 \\\text { Salaries Payable } & 22,500 & 18,000\end{array}\end{array}$