Cash flows from (used for) operating activities-indirect method The net income reported on the income statement for the current year was $268,800. Depreciation recorded on equipment and a building amounted to $80,400 for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of Year Cash $71,230 $75,500 Accounts receivable (net) 90,320 93,170 Inventories 178,080 160,510 Prepaid expenses 9,900 10,650 Accounts payable (merchandise creditors) 79,560 84,260 Salaries payable 11,470 10,490 a. Prepare the "Cash flows from (used for) operating activities" section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Statement of Cash Flows (partial) Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation Changes in current operating assets and liabilities: Decrease in accounts receivable Increase in inventories IIIIII Decrease in prepaid expenses Decrease in accounts payable Increase in salaries payable Net cash flows from operating activities Statement of cash flows-indirect method The comparative balance sheet of Olson-Jones Industries Inc. for December 31, 20Y2 and 2041, is as follows: December 31, , December 31, 2012 20Y1 Assets Cash $183 $ $14 Accounts receivable (net) 55 49 Inventories 117 99 Land 250 330 205 175 Equipment Accumulated depreciation equipment (68) (42) $742 $625 Total assets Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $51 $37 Dividends payable 5 125 80 Common stock, $1 par Paid-in capital in excess of par-common stock Retained earnings 85 70 476 438 Total liabilities and stockholders' equity $742 $625 The following additional information is taken from the records: a. Land was sold for $120. b. Equipment was acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $62 credit to Retained Earnings for net income. f. There was a $24 debit to Retained Earnings for cash dividends declared. a. Prepare a statement of cash flows, using the indirect method of presenting Cash flows from (used for) operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Olson-Jones Industries, Inc. Statement of Cash Flows For the Year Ended December 31, 20Y2 Line Item Description Amount Amount Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flow from (used for) operating activities: Depreciation Gain on sale of land Changes in current operating assets and liabilities: Increase in accounts receivable 10 000 Increase in inventories Increase in accounts payable Net cash flows from operating activities o Cash flows from (used for) investing activities: Cash received from sale of land Cash paid for purchase of equipment Net cash flows from investing activities Cash flows from (used for) financing activities: Cash received from sale of common stock Cash paid for dividends Net cash flows from financing activities Net increase in cash 000, Cash balance, January 1, 20Y2 Cash balance, December 31, 20Y2