Data for Keller Minden Company SE are presented in P13-9B. Further analysis reveals that accounts payable pertain to merchandise creditors.

Instructions
Prepare a statement of cash flows for Keller Minden using the direct method.

KELLER MINDEN COMPANY SE Comparative Statements of Financial Position December 31 Assets 2017 Equipment Accumulated depreciation- equipment Investments Inventory Accounts receivable Cash 318,000 (44,000) 79,500 124,500 63,200 93,600 634,800 2016 205,000 (40,000) 107,000 102,650 37,000 33,400 445,050 Total Equity and Liabilities Share capital-ordinary Retained earnings Bonds payable Accounts payable Accrued expenses payable 250,000 173,100 140,000 56,600 15,100 634,800 200,000 107,940 70,000 48,280 18,830 445,050 Total KELLER MINDEN COMPANY SE Income Statement For the Year Ended December 31, 2017 Sales revenue Less: 297,500 Cost of goods sold Operating expenses, excluding 99,460 depreciation expense Depreciation expense Loss on disposal of plant assets Income tax expense Intrst pus 19,670 25,000 5,000 37,270 2,940 189,340 108,160 Net income