Exercise 12-7 Shown below are comparative balance sheets for Sandhill Company Sandhill Company Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Land Equipment Accumulated depreciation-equipment Total Liabilities and Stockholders' Equity Accounts payable Bonds payable Common stock ($1 par) Retained earnings Total 2017 2016 68,332 236,056 587,034 310,600 621,200 $211,208 273,328 518,702 248,480 807,560 (204,996(99,392) $1,854,282 $1,723,830 121,134 133,558 621,200 540,444 428,628 $1,854,282 $1,723,830 465,900 670,896 596,352 Additional information: 1. Net income for 2017 was $288,858. 2. Depreciation expense was $105,604. 3. Cash dividends of $121,134 were declared and paid. 4. Bonds payable amounting to $155,300 were redeemed for cash $155,300 5. Common stock was issued for $130,452 cash 6. No equipment was sold during 2017 7. Land was sold for its book value. Prepare a statement of cash flows for 2017 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)) Sandhill Company Statement of Cash Flows Adjustments to reconcile net income to