California Corp The Change in Accrued Liabilities Is Shown as a Negative

True/False

California Corp.uses the indirect method to prepare the statement of cash flows.Refer to the following section of the comparative balance sheet:
$\begin{array}{c}\text { California Corp.}\\\text { Comparative Balance Sheet}\\\text { December 31,2018 and 2017}\\\begin{array}{|l|r|r|r|}\hline&2018&2017&\text { Increase/(Decrease) }\\\hline \text { Accounts Payable } & \$ 8,000 & \$ 9,000 & \$(1,000 \\\hline \text { Accrued Liabilities } & 3,000 & 1,500 & 1,500 \\\hline \text { Long-term Notes Payable } & \underline{56,000} & \underline{60,000} & \underline{(4,000} \\\hline \text { Total Liabilities } & \$ 67,000 & \$ 70,500 & \$(3,500) \\\hline \end{array}\end{array}$

The change in Accrued Liabilities is shown as a negative cash flow in the adjustments to net income.