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Problem 14-18A (Algo) Using financial statements to prepare a statement of cash flows-indirect method LO 14-1, 14-3, 14-4 The comparative balance sheets and income statements for Zachary Company follow: Additional Data 1. During Year 2, the company sold equipment for $18,455; it had originally cost $28,400. Accumulated depreciation on this equipment was $10,745 at the time of the sale. Also, the company purchased equipment for $7,350 cash. 2. The company sold land that had cost $4,260. This land was sold for $4,200, resulting in the recognition of a $60 loss. Also, common stock was issued in exchange for title to land that was valued at $11,800 at the time of exchange. ZACHARY COMPANY Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities: Less: Increase/Decrease in current assets and current liabilities: Plus: Noncash charges Cash flows from investing activities: Cash flows from financing activities: Ending cash balance Schedule of noncash investing and financing activities