How do I Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.

Whitman Co.

Statement of Cash Flows

For the Year Ended December 31, 20Y2

The comparative balance sheet of Whitman Co. at December 31, 20Y2 and 20Y1, is as follows:

	Dec. 31, 20Y2			Dec. 31, 20Y1
Assets
Cash	$ 802,190			$ 862,800
Accounts receivable (net)	729,990			665,820
Inventories	1,107,020			1,018,780
Prepaid expenses	25,670			30,480
Land	275,950			417,140
Buildings	1,275,480			786,150
Accumulated depreciation-buildings	(360,990)			(336,920)
Equipment	449,230			397,080
Accumulated depreciation-equipment	(123,540)			(138,780)
Total assets	$4,181,000			$3,702,550
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)	$ 794,390			$ 838,290
Bonds payable	234,140			0
Common stock, $20 par	276,000			102,000
Paid-in capital: Excess of issue price over par-common stock	662,000			488,000
Retained earnings	2,214,470			2,274,260
Total liabilities and stockholders equity	$4,181,000			$3,702,550

The noncurrent asset, noncurrent liability, and stockholders' equity accounts for 20Y2 are as follows:

ACCOUNT Land				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance			417,140
Apr. 20	Realized $131,300 cash from sale		141,190	275,950

ACCOUNT Buildings				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance			786,150
Apr. 20	Acquired for cash	489,330		1,275,480

ACCOUNT Accumulated Depreciation-Buildings				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance				336,920
Dec. 31	Depreciation for year		24,070		360,990

ACCOUNT Equipment				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance			397,080
Jan. 26	Discarded, no salvage		43,700	353,380
Aug. 11	Purchased for cash	95,850		449,230

ACCOUNT Accumulated Depreciation-Equipment				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance				138,780
Jan. 26	Equipment discarded	43,700			95,080
Dec. 31	Depreciation for year		28,460		123,540

ACCOUNT Bonds Payable				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
May 1	Issued 10-year bonds		234,140		234,140

ACCOUNT Common Stock, $20 par				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance				102,000
Dec. 7	Issued 8,700 shares of common stock for $40 per share		174,000		276,000

ACCOUNT Paid-in Capital in Excess of Par-Common Stock				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance				488,000
Dec. 7	Issued 8,700 shares of common stock for $40 per share		174,000		662,000

ACCOUNT Retained Earnings				ACCOUNT NO.
				Balance
Date	Item	Debit	Credit	Debit	Credit
20Y2
Jan. 1	Balance				2,274,260
Dec. 31	Net loss	28,790			2,245,470
Dec. 31	Cash dividends	31,000			2,214,470

Required: