Cash Flow Statement

Here are comparative balance sheets for Velo Company.

VELO COMPANY

Comparative Balance Sheets

December $31$

Assets $20172016$

Cash $ $63,000$ $ $22,000$

Accounts receivable $85,00076,000$

Inventory $170,000189,000$

Land $75,000100,000$

Equipment $270,000200,000$

Accumulated depreciation$$equipment $(66,000)(32,000)$

Total $$597,000$ $$555,000$

Liabilities and Stockholders$$ Equity

Accounts payable $ $39,000$ $ $47,000$

Bonds payable $150,000200,000$

Common stock $($$$1$ par$)216,000174,000$

Retained earnings $192,000134,000$

Total $$597,000$ $$555,000$

Additional information:

$1.$ Net income for $2017$ was $$93,000.$

$2.$ Cash dividends of $$35,000$ were declared and paid.

$3.$ Bonds payable amounting to $$50,000$ were redeemed for cash $$50,000.$

$4.$ Common stock was issued for $$42,000$ cash.

$5.$ No equipment was sold during $2017,$ but land was sold at cost$.$

Instructions

Prepare a statement of cash fl ows for $2017$ using the indirect method.