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Cash flows from operating activities section

Please help the book I have does a very poor job of explaining how to get from the info below to a no kidding operating cash flow!

The 2010 accounting records of Spaulding Transport reveal these transactions:

Payment of interest $10,000
Cash Sales 48,000
Receipt of dividend revenue 18,000
Payment of income taxes 12,000
Net Income 38,000
Payment for merchandise 105,000
Payment for land 74,000
collection of accounts recievable 192,000
Payment of saleries and wages 53,000
Depreciation expense 16,000
Proceedes from sale vehicles 812,000
Purchase of equipment for cash 22,000
loss on sale of vehicles 3,000
payment of dividends 14,000
payment of operating expenses 28,000

Prepare the cash flows from operating activities section using the direct method (not all othe items will be used)

Solution Preview

In making the operating activities section we look at the cash inflows and outflows relating to operations - collection of receivables, payment of operating expenses, payment for inventories etc. This is done below
Payment of interest $10,000 - operating outflow
Cash Sales 48,000 - operating inflow
Receipt of dividend ...

Solution Summary

The solution explains how to prepare a cash flows from operating activities section