The Accounting Records of Harrison Company Provided the Data Below

The accounting records of Harrison Company provided the data below.
Required:
Prepare a reconciliation of net income to net cash flows from operating activities.
$$\begin{array} { l r } \text { Net loss } & \$ 10,000 \\\text { Depreciation expense } & 12,000 \\\text { Increase in salaries payable } & 1,000 \\\text { Decrease in accounts receivable } & 4,000 \\\text { Increase in inventory } & 4,800 \\\text { Amortization of patent } & 700 \\\text { Decrease in discount on bonds } & 500\end{array}$$