Morgensen Software Corp. has assembled the following data for the years ending December $31,2021$ and $2020.$

$($Click the icon to view the current accounts.$)$

$($Click the icon to view the transaction data.$)$

Requirement

Prepare Morgensen's statement of cash flows using the indirect method to report operating activities. Include a schedule of noncash investing and financing activities. numbers to be subtracted and for a net decrease in cash.$)$

Morgensen Software Corp.

Statement of Cash Flows $($Indirect Method$)$

Year Ended December $31,2021$

Cash flows from operating activities:

Net income

Adjustments to reconcile net income to

net cash provided by $($used for$)$ operating activities:

$\backslash$table$[[$Depreciation expense,$20000],[$Amortization expense,$5000],[$Loss on sale of equipment,$32000],[$Increase in accounts receivable,$-4900],[$Decrease in inventories,$75400],[$Increase in prepaid expenses,$1100],[$Decrease in accounts payable,$-46100],[$Increase in accrued liabilities,$8000],[$Increase in income tax payable,$1100],[$Net cash provided by $($used for$)$ operating activities,$-49400]]$

Data table

More info

$\backslash$table$[[,$December $31,],[,,2021,2020],[$Current Accounts:$],[$Current assets:$],[$Cash and cash equivalents,$$,93,800$$$,21,000],[$Accounts receivable,,$69,700,64,800],[$Inventories$,,8,600,84,000],[$Prepaid expenses,,$3,400,2,300],[$Current liabilities:$],[$Accounts payable,$$,9,400$$$,55,500],[$Income tax payable,,$18,300,17,200],[$Accrued liabilities,,$15,600,7,600]]$

$\backslash$table$[[$Transaction Data for $2021$:$],[$Acquisition of land by issuing,,,Purchase of treasury stock,$$,14,400],[$long$-$term note payable,$$,198,000,$Loss on sale of equipment,,$32,000],[$Stock dividends,,$43,000,$Payment of cash dividends,,$18,100],[$Collection of loan,,$12,200,$Issuance of long$-$term note,,$],[$Depreciation expense,,$20,000,$payable to borrow cash,,$54,600],[$Purchase of building,,,Net income,,$5,900],[$with cash,,$87,000,$Issuance of common stock,,$],[$Retirement of bonds payable,,,for cash,,$63,000],[$by issuing common stock,,$47,000,$Proceeds from sale of$,,],[$Purchase of long$-$term,,,equipment,,$12,500],[$investment with cash,,$45,300,$Amortization expense,,$5,000]]$