Exercise 13-8

Here are comparative balance sheets for Velo Company.

VELO COMPANY Comparative Balance Sheets December 31
Assets		2017			2016
Cash		$ 73,400			$ 33,100
Accounts receivable		86,000			71,500
Inventory		170,300			186,900
Land		72,600			100,000
Equipment		260,500			199,300
Accumulated depreciationequipment		(65,700	)		(33,700	)
Total		$597,100			$557,100
Liabilities and Stockholders Equity
Accounts payable		$ 35,300			$ 46,500
Bonds payable		150,600			204,000
Common stock ($1 par)		216,200			175,500
Retained earnings		195,000			131,100
Total		$597,100			$557,100

Additional information:

1.		Net income for 2017 was $101,200.
2.		Cash dividends of $37,300 were declared and paid.
3.		Bonds payable amounting to $53,400 were redeemed for cash $53,400.
4.		Common stock was issued for $40,700 cash.
5.		No equipment was sold during 2017, but land was sold at cost.

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).)

VELO COMPANY Statement of Cash Flows