Use the following information to prepare a statement of cash flows for the current year using the indirect method.

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MONTGOMERY INC. Comparative Balance Sheets At December 31 Current Year Prior Year Assets Cash .... $ 30,400 $ 30,550 Accounts receivable, net 10,050 12,150 Inventory... 90,100 70,150 Total current assets 130,550 112,850 Equipment..... 49,900 41,500 Accum. depreciation-Equipment... Total assets... (22,500) $157,950 (15,300) $139,050 Liabilities and Equity Accounts payable.. $ 23,900 $ 25,400 Salaries payable... 500 600 Total current liabilities 24,400 26,000 Equity Common stock, no par value...... Retained earnings ... Total liabilities and equity.... 110,000 100,000 23,550 13,050 $157,950 $139,050