L ICQI Assets Cash Accounts receivable Inventory Prepaid rent Equipment Accumulated depreciation Land $70,431 $40,880 28,527...

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L ICQI Assets Cash Accounts receivable Inventory Prepaid rent Equipment Accumulated depreciation Land $70,431 $40,880 28,527 158,756 20,920 174,630 2,305 4,610 259,240 289,960 (143,680) (230,080) 188,260 77,760 Total assets $563,839 $378,680 Liabilities Accounts payable (inventory) $62,874 71,320 Salaries payable 28,467 24,400 Stockholders' equity Common stock, $50 par value 248,000 200,000 Retained earnings 224,498 82,960 Total liabilities and equity $563,839 $378,680 Income Statement For the Year Ended December 31, Year 2 Sales Cost of goods sold. Gross profit $1,501,000 (797,732) 703,268 Operating expenses Depreciation expense Rent expense Salaries expense Other operating expenses Net income Other Information 1. Purchased land for $110,500. 2. Purchased new equipment for $100,000. (22,320) (26,710) (254,650) (258,050) $141,538 3. Sold old equipment that cost $130,720 with accumulated depreciation of $108,720 for $22,000 cash. 4. Issued common stock for $48,000. Required Prepare the statement of cash flows for Year 2 using the indirect method. (Cash outflows should be indicated with a L ICQI Assets Cash Accounts receivable Inventory Prepaid rent Equipment Accumulated depreciation Land $70,431 $40,880 28,527 158,756 20,920 174,630 2,305 4,610 259,240 289,960 (143,680) (230,080) 188,260 77,760 Total assets $563,839 $378,680 Liabilities Accounts payable (inventory) $62,874 71,320 Salaries payable 28,467 24,400 Stockholders' equity Common stock, $50 par value 248,000 200,000 Retained earnings 224,498 82,960 Total liabilities and equity $563,839 $378,680 Income Statement For the Year Ended December 31, Year 2 Sales Cost of goods sold. Gross profit $1,501,000 (797,732) 703,268 Operating expenses Depreciation expense Rent expense Salaries expense Other operating expenses Net income Other Information 1. Purchased land for $110,500. 2. Purchased new equipment for $100,000. (22,320) (26,710) (254,650) (258,050) $141,538 3. Sold old equipment that cost $130,720 with accumulated depreciation of $108,720 for $22,000 cash. 4. Issued common stock for $48,000. Required Prepare the statement of cash flows for Year 2 using the indirect method. (Cash outflows should be indicated with a