complete the statement of cashflows for the current year using the indirect method

Prior Year MONTGOMERY INC. Comparative Balance Sheets December 31 Current Year Assets Cash $ 30,300 Accounts receivable, net 8,900 Inventory 79,800 Total current assets 119,000 Equipment 44,200 Accum. depreciation-Equipment (20,000) Total assets $ 143,200 Liabilities and Equity Accounts payable $ 21,300 Salaries payable 400 Total current liabilities 21,700 Equity Common stock, no par value 101,800 Retained earnings 19,700 Total liabilities and equity $143,200 $ 30,800 10,900 63,000 104,700 37,300 (13,800) $ 128, 200 $ 22,900 500 23,400 93,900 10,900 $ 128,200 MONTGOMERY INC. Income Statement For Current Year Ended December 31 Sales $ 38,500 Cost of goods sold (16,000) Gross profit 22,500 Operating expenses Depreciation expense $ 6,200 Other expenses 4,700 Total operating expense 10,900 Income before taxes 11,600 Income tax expense 2,800 Net income $ 8,800 Additional Information on Current-Year Transactions a. No dividends are declared or paid. b. Issued additional stock for $7,900 cash. c. Purchased equipment for cash: no equipment was sold. 1. Use the above information to prepare a statement of cash flows for the current year using the indirect method (Amounts to be deducted should be indicated by a minus sign.) MONTGOMERY, INC. Statement of Cash Flows (Indirect Method) For Current Year Ended December 31 Cash flows from operating activities Net income $ 8,800 Adjustments to reconcile net income to net cash provided by operations: Income statement items not affecting cash Changes in current operating assets and liabilities $ 8.800 Cash flows from investing activities