I have a attached a file with 2 questions for help answering

I have a attached a file with 2 questions for help answering

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HAWKEYE COMPANY
Income Statement
For the Year Ended December 31, 2013
Sales
$
920
Cost of
goods sold
(360)
Gross
margin
560
Salaries
expense
$ 234
Depreciatio
n expense
192
Interest
expense
42
Gain on
sale of cash
equivalents
(4)
(464)
Income
before taxes
and
extraordinar
y loss
96
Income
tax expense
(48)
Income
before
extraordinar
y loss
48
Extraordi
nary loss
(flood
damage to
inventory)
14
Less: Tax
savings
(7)
(7)
Net Income
$
41
HAWKEYE COMPANY
Selected Accounts from Comparative Balance Sheets
December 31, 2013 and 2012
Year
2013
2012
Change
Cash
$216
$202
$14
Accounts
receivable
397
425
(28)
Inventory
864
852
12
Accounts
payable
212
238
(26)

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Salaries
payable
182
192
(10)
Interest
payable
59
52
7
Income taxes
payable
92
108
(16)
Required:
1.
Prepare the cash flows from operating activities section of the statement of cash flows for Hawkeye Company
using the direct method.
(Amounts to be deducted should be indicated with a minus sign.)
Direct Method
Cash Flows from Operating
Activities:
$
Net cash flows from operating
activities
$
2.
Prepare the cash flows from operating activities section of the statement of cash flows for Hawkeye Company
using the indirect method.
(Amounts to be deducted should be indicated with a minus sign.)
Indirect Method
Cash Flows from Operating
Activities:
Net income
$
Adjustments for noncash effects:
Changes in operating assets and
liabilities:
Net cash flows from operating
activities
$
The comparative balance sheets for 2013 and 2012 are given below for Surmise Company. Net income for 2013

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