Refer to the information in Exercise. Using the direct method, prepare the statement of cash flows for the year ended June 30, 2015.
In Exercise

Additional Information
a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash.
b. The only changes affecting retained earnings are net income and cash dividends paid.
c. New equipment is acquired for $57,600 cash.
d. Received cash for the sale of equipment that had cost $48,600, yielding a $2,000 gain.
e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement.
f. All purchases and sales of inventory are on credit.

IKIBAN INC. Comparative Balance Sheets June 30,2015 and 2014 2015 2014 Assets Cash Accounts receivable, net Inventory Prepaid expenses Total current assets .65,000 63,800 4,400 220,700 Equipment124,000 $ 87,500 44,000 51,000 86,500 5,400 186,900 15,000 7,000) (9.000 $317700 $292,900 IKIBAN INC. Income Statement For Year Ended June 30,2015 $678,000 Accum. depreciation Equipment 411,000 Total assets Sales Cost of goods sold Gross profit... Operating expenses 267,000 Liabilities and Equity Wages payable 125,600 Total current liabilities Total liabilities Accounts payable 25,000 30,000 15,000 6,000 3,400 34,400 141,400 Notes payable (long term)30,000 64,400 Depreciation expense$58,600 Income taxes payable Other expenses Total operating expenses .67,000 48,800 60,000 108,800 Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense. Net incomc.. 2,000 Equity 143,400 Common stock, $5 par value 43,890 Retained earnings 220,000 60,000 24,100 $317.700 $292.900 33,300 $99,510 Total liabilities and equity