From the financial statements and additional information provided in Problem 21A-1 for Dent Company, prepare a statement of cash flows using the direct method.

Problem 21A-1:

From the following income statement (Figure 21.12), balance sheet (Figure 21.13), and additional data for Dent Company, prepare a statement of cash flows using the indirect method.

Additional Data
1. All Plant and Equipment were purchased with cash.
2. Sold additional 4,000 shares of stock for cash at par.
3. A $1,400 dividend was declared and paid.
4. Short-term notes used to finance inventory.

Figure 21.12:

Figure 21.13: