Presented below are the 2013 income statement and comparative balance sheets for Santana Industries.

Presented below are the 2013 income statement and comparative balance sheets for Santana Industries. SANTANA INDUSTRIES
Income Statement
For the Year Ended December 31, 2013
($ in thousands)   Sales revenue $ 18,250   Service revenue 7,400       Total revenue $ 25,650   Operating expenses:     Cost of goods sold 9,200     Selling 4,400     General and administrative 3,500       Total operating expenses 17,100   Operating income 8,550   Interest expense 400   Income before income taxes 8,150   Income tax expense 4,500   Net income $ 3,650

   Balance Sheet Information ($ in thousands)    Dec.
31, 2013    Dec.
31, 2012   Assets:      Cash $ 9,350    $ 4,000   Accounts receivable 6,500    4,200   Inventory 8,000    5,000   Prepaid rent 350    700   Plant and equipment 18,500    16,000     Less: Accumulated depreciation (7,100 )    (6,500 )          Total assets $ 35,600    $ 23,400      Liabilities and ShareholdersAc€?c Equity:      Accounts payable $ 5,400    $ 3,100   Interest payable 300    0   Unearned service revenue 1,200    800   Income taxes payable 750    1,200   Loan payable (due 12/31/2015) 9,000    0   Common stock 12,000    12,000   Retained earnings 6,950    6,300      Total liabilities and shareholders’ equity $ 35,600    $ 23,400    Additional information for the 2013 fiscal year ($ in thousands): 1. Cash dividends of $3,000 were declared and paid. 2. Equipment costing $8,000 was purchased with cash. 3. Equipment with a book value of $2,500 (cost of $5,500 less accumulated depreciation of $3,000) was sold for $2,500. 4. Depreciation of $3,600 is included in operating expenses. Required: Prepare Santana Industries’ 2013 statement of cash flows, using the indirect method to present cash flows from operating activities. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.)