 In this presentation, we will start to construct the statement of cash flows using the indirect method focusing in on cash and net income. This is going to be the resources we will have. We'll have the comparative balance sheet, the income statement, and we're going to have some added information in order to construct the statement of cash flows. We're mainly going to be working with a worksheet that was put together from a comparative balance sheet. That's where we will start. So we're going to find a home. This is going to be our worksheet. We have the two periods. So we have the current year. We've got the prior year and we've got the difference between those activities. Now our goal here is to basically just find a home for every component on this difference section. So that's going to be our home. Why? Well, we can first start thinking about cash. What are we going to do with cash? That's the main thing. This is a statement of cash flows here. So where are we going to put cash? That's actually going to start at the bottom.