Horse Heaven Horse Farm, Inc., began 2010 with cash of $170,000. During the year, Horse Heaven earned service revenue of $590,000 and collected $480,000 from customers. Expenses for the year totaled $320,000, with $310,000 paid in cash to suppliers and employees. Horse Heaven also paid $136,000 to purchase equipment and a cash dividend of $49,000 to stockholders. During 2010, Horse Heaven borrowed $26,000 by issuing a note payable. Prepare the company’s statement of cash flows for the year.
Format operating activities by the direct method.