*P14-4A Data for Elbert Company are presented in P14-3A.

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The income statement of Elbert Company is presented here

Elbert Company
Income Statement
For the Year Ended November 30, 2008
Sales revenue		7,700,000
Cost of goods sold
Beginning inventory	1,900,000
Purchases	4,400,000
Goods available for sale	6,300,000
Ending inventory	1,400,000
Total cost of goods sold		4,900,000
Gross profit		2,800,000
Operating expenses
Selling expenses	450,000
Administrative expenses	700,000	1,150,000
Net income		1,650,000

Additional information:
1. Accounts receivable increased $250,000 during the year, and inventory decreased $500,000.
2. Prepaid expenses increased $150,000 during the year.
3. Accounts payable to suppliers of merchandise decreased $340,000 during the year.
4. Accrued expenses payable decreased $100,000 during the year.
5. Administrative expenses include depreciation expense of $90,000.

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