Barry’s Clothing Stores, Inc. released its annual report for the current year and included the following comparative balance sheets and income statement.

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Additional Information:

1. Barry’s sold investments with a cost of $ 115,088 at a loss of $ 22,088. It included this loss in investment income on the income statement.

2. Barry’s acquired additional shares as investments to be carried at fair value. It accounted for all investments, other than investments carried under the equity method, as available- for- sale securities. Barry’s recorded a $ 9,300 unrealized loss for the current year.

3. Barry’s reported accounts receivable net of the allowance for bad debts.

4. The company did not acquire any plant and equipment during the year, but sold a piece of equipment with a carrying value of $ 307,830.

5. Barry’s did not increase its percentage ownership of its equity investee (affiliate company).

6. Barry’s sold one of its franchises at book value.

7. Barry’s reported the loss from discontinued operations net of tax and as a cash transaction.

8. The company is not required to make payments on long- term debt other than the current portion.

9. The company borrowed an additional $ 1,046 by issuing a long-term note at the end of the year.

10. The company repurchased treasury stock at a cost of $ 300,000.

Required

Prepare the current-year cash flow statement for Barry’s Clothing Stores, Inc. under the indirect method. Present required disclosures.

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Barry's Clothing Store, Inc. Balance Sheets At December 31 Assets Current Year Prior Year Current Assets Cash Investments at Fair Value Accounts Receivable, net Merchandise inventony $ 94,164 $ 108,035 171,585 115,088 198,789 S 696,805 S 593,496 121,365 198,788 282,488 Total Curment Assets Noncurrent Assets Investments in Affiliate Companies Property, Plant, and Equipment- net Intangible Assets-net S 554,513 210,296 2,855,216 3,202,571 261,563 $3,592,823 $3,674430 $4,289,628 $4,267926 193,094 Total Noncurrent Assets Total Assets Liabilities Current Liabilities Current Portion of Long-term Debt Accounts Payable Dividends Payable Income Taxes Payable S 52,313 S 137687 391,298 330886 115,088 137697 122,411 S 738,236 706.072 156,938 Total Curent Liabilities Noncurrent Liabilities Bonds Payable Less: Discount on Bonds Notes Payable Deferred-tax Liability Net Obligations under Pension Plans $ 937000 837000 268,886) 303,413 470,813 151,706 125,550 $1,338,154 $1,281,656 $2,076,390 $1,987728 471,859 130,781 167,400 Total Noncurrent Liabilities Total Liabilities Shareholders' Equity Common Stock, $1 par value Additional Paid-in Capital Retained Earnings Deferred Compensation Accumulated other Comprehensive Income S 282,488 282,488 837000 1,833,363 .195,842 (66,960 101,486) 272653166.354 $2,613,238 $2,380,198 (400,000) 100,000) Total Liabilities and Shareholders Equity$4.289.629 $4267926 937000 Total Shareholders Equity Less: Treasury Stock at Cost Barry's Clothing Stores, Inc. Income Statement For the Year Ended December 31 Current Year $3,630,100 2,178,060 $1,452,040 S 103,075 310,233 4,394 39,525 13,950 471.177 990 863 $ (54,250) 116,421) 7,750 512,043 Income from Continuing Operations Before Tax $1,329,985 (531.994 $ 797991 541 S 772.450 Sales Cost of Goods Sold Gross Profit Selling, General, and Administrative Expenses Pension Expense Bad Debt Expense Depreciation Expense Amortization Expense Total Operating Expenses Income before Interest and Taxes Loss on Disposal of Equipment Interest Expense Investment Income (includes loss on sale) Equity Earnings from Affiliate Companies Income Tax Expense Income from Continuing Operations Discontinued Operations net of tax Net Income