-15 E : Here are comparative balance sheets for Blossom Company. Prepare a statement of cash flows-indirect method. BLOSSOM COMPANY Comparative Balance Sheets December 31 Assets 2020 2019 Cash $72,000 $22,000 Accounts receivable 88,000 75,000 Inventory 167,000 188,000 Land 71,000 99,000 Equipment 261,000 196,000 Accumulated depreciation - equipment (66,000) (32,000) Total $593,000 $548,000 Liabilities and Stockholders' Equity Accounts payable $38,000 $47,000 Bonds payable 149,000 209,000 Common stock ($1 par) 220,000 175,000 Retained earnings 186,000 117,000 Total $593,000 $548,000 MacBook Pro + C G Search or type URL esc @ # 3 5 6 2 P R U O W E TAdditional information: e i1 Net income for 2020 was $102,000. 24 Cash dividends of $33,000 were declared and paid. 3. Bonds payable amounting to $60,000 were redeemed for ash $60,000. 4. Common stock was issued for $45,000 cash. : A Equipment that cost $50,000 and had a book value of $26,000 was sold for $35,000 during 2020; land was sold at cost. (a) ' Prepare a statement of cash flows for 2020 using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) BLOSSOM COMPANY Statement of Cash Flows For the Year Ended December 31, 2020 N Cash Flows from Operating Activities &7 Net Income N $ 102000 Adjustments to reconcile net income to > Search or type URL YuUEdUVIL 10 Ul ZU -/5 i= : BLOSSOM COMPANY Statement of Cash Flows For the Year Ended Decemb-r 31, 2020 Cash Flows from Operating Activities v Net Income v $ I 102000 | J Adjustments to reconcile net income to Net Cash Provided by Operating Activities v Depreciation Expense N $ Gain on Disposal of Equipment 7 Increase in Accounts Receivable v Decrease in Inventory Decrease in Accounts Payable v Net Cash Provided by Operating Activities (T L LR RN ERN S P o 5} S T A Question 18 of 20 Cash Flows from Investing Activities v Purchase of Equipment v Sale of Land V7 Sale of Equipment e Net Cash Used by Investing Activities v Cash Flows from Financing Activities N Issuance of Common Stock N Redemption of Bonds e Payment of Cash Dividends 2 Net Cash Provided by Financing Activities Net Increase in Cash Y Cash at Beginning of Period > Search or type URL % S}