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Presented below are the 2018 income statement and comparative balance sheets for Santana Industries.

SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2018 ($ in thousands) Sales revenue $ 14,850 Service revenue 4,000 Total revenue $ 18,850 Operating expenses: Cost of goods sold 7,500 Selling 2,700 General and administrative 1,800 Total operating expenses 12,000 Operating income 6,850 Interest expense 230 Income before income taxes 6,620 Income tax expense 2,800 Net income $ 3,820 Balance Sheet Information ($ in thousands) Dec. 31, 2018 Dec. 31, 2017 Assets: Cash $ 7,650 $ 2,470 Accounts receivable 3,100 2,500 Inventory 4,600 3,300 Prepaid rent 180 360 Plant and equipment 15,100 12,600 Less: Accumulated depreciation (5,400 ) (4,800 ) Total assets $ 25,230 $ 16,430 Liabilities and Shareholders Equity: Accounts payable $ 2,000 $ 1,400 Interest payable 130 0 Deferred service revenue 860 630 Income taxes payable 580 860 Loan payable (due 12/31/2020) 5,600 0 Common stock 10,300 10,300 Retained earnings 5,760 3,240 Total liabilities and shareholders' equity $ 25,230 $ 16,430 Additional information for the 2018 fiscal year ($ in thousands): Cash dividends of $1,300 were declared and paid. Equipment costing $4,600 was purchased with cash. Equipment with a book value of $800 (cost of $2,100 less accumulated depreciation of $1,300) was sold for $800. Depreciation of $1,900 is included in operating expenses. Required: Prepare Santana Industries' 2018 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.)

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