PW Tequila Company Balance Sheet December 31, 2018and 2017 2018 2017 Assets Cash $827,000 $580,000 Accounts Receivable $1,242,000 $1,303,000 Inventories $652,000 $362,000 Prepaid Operating Expenses $168,000 $67,000 Land $1,080,000 $580,000 Equipment $801,000 $599,000 Accumulated Depr-Equipment ($120,000) ($80,000) Total Assets $4,650,000 $3,411,000 Liabilities Accounts Payable $361,000 $250,000 Salaries Payable $628,000 $592,000 Income Tax Payable $630,000 $411,000 Note Payable $500,000 $0 Total Liabilities $2,119,000 $1,253,000 Stockholders Equity Common Stock $500,000 $275,000 Paid in Capital in Excess of Par $1,525,000 $1,350,000 Retained Earnings $506,000 $533,000 Total Stockholders Equity $2,531,000 $2,158,000 Total Liabilities & Stockholders Equity $4,650,000 $3,411,000 PW Tequila Company Income Statement Year Ended December 31, 2018 Sales $8,154,000 Cost of Goods Sold $4,240,000 Gross Profit $3,914,000 Operating Expenses: Depreciation Expense $40,000 Salaries Expense $990,000 Other Operating Expenses $889,000 Total Operating Expenses $1,919,000 Net Income Before Taxes $1,995,000 Income Tax Expense $798,000 Net Income $1,197,000 Additional Information Acquisition of Land was financed with a Long-Term Note Payable Equipment was Purchased for $202,000 Common Stock was issued for Cash $1,224,000 in Cash Dividends were paid Required: Prepare the Statement of Cash Flows Using the Indirect Method

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Here is the statement of cash flows using the indirect method PW Tequila Company Statement of Cash ... View the full answer