omework Saved Help E12-7 Preparing and Evaluating a Simple Statement of Cash Flows (Indirect Method) (LO 12-1, LO 12-2, LO 12-5) Suppose the income statement for Goggle Company reports $143 of net income, after deducting depreciation of $23. The company bought equipment costing $120 and obtained a long-term bank loan for $128. The company's comparative balance sheet, at December 31, is presented here. Required: 1. Calculate the change in each balance sheet account and indicate whether each account relates to operating, investing, and/or financing activities (+ for increase and for decrease) 2. Prepare a statement of cash flows using the Indirect method. 6. Are the cash flows typical of a start-up, healthy, or troubled company? Complete this question by entering your answers in the tabs below. Required Required 2 Required 6 Calculate the change in each balance sheet account and indicate whether each account relates to operating, Investing, and/or financing activities (+ for increase and - for decrease). (Select "Ne if there is no effect. Enter all amounts as positive values.) Chango Type Cash Accounts Receivable Inventory Equipment Accumulated Depreciation Equipment Tritat Previous Year Current Year 47 334 87 199 320 147 560 680 (33) (56) $ 981 s 1.304 financing activities (+ for increase and for decrease). 2. Prepare a statement of cash flows using the Indirect method. 6. Are the cash flows typical of a start-up, healthy, or troubled company? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 6 Calculate the change in each balance sheet account and indicate whether each account relates to operating, investing, and/or financing activities (+ for increase and - for decrease). (Select "NE" if there is no effect. Enter all amounts as positive values.) Previous Year Current Year Change Type 47 334 87 320 199 147 680 Cash Accounts Receivable Inventory Equipment Accumulated Depreciation-Equipment Total Salaries and Wages Payable Notes Payable (long-term) Common Stock Retained Earnings Total 560 (33) 981 $ $ $ 22 $ 457 (56) 1,304 74 585 22 623 1,304 22 480 981 $ $ ROC Required 2 > 2 Homework Saved sign.) GOGGLE COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities: Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: Changes in Current Assets and Current Liabilities ces Cash Flows from Investing Activities: Cash Flows from Financing Activities: