Please complete the following cash flow problem.

1472 Chapter 23 Statement of Cash Flows Incluss Cash Flow Problem CHAPMAN COMPANY COMPARATIVE BALANCE SHEET AS OF MAY 31 2014 2013 $ 28.250 75,000 220,000 $ 20,000 58,000 250,000 7,000 335,000 9,000 332.250 450,000 $782,250 377,000 $712,000 Current assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Plant assets Plant assets Less: Accumulated depreciation-plant assets Net plant assets Total assets Current liabilities Accounts payable Salaries and wages payable Interest payable Total current liabilities Long-term debt Bonds payable Total liabilities Stockholders' equity Common stock, $10 par Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $123,000 47,250 27,000 197.250 $115,000 72,000 25,000 212.000 70,000 267,250 100,000 312,000 370,000 145,000 515,000 $782.250 280,000 120,000 400.000 $712,000 CHAPMAN COMPANY INCOME STATEMENT FOR THE YEAR ENDED MAY 31, 2014 $1.255,250 722.000 533,250 Sales revenue Cost of goods sold Gross profit Expenses Salaries and wages expense Interest expense Depreciation expense Other expenses Total expenses Operating income Income tax expense Net income 252,100 75,000 25,000 8,150 360,250 173,000 43,000 $ 130,000 The following is additional information concerning Chapman's transactions during the year ended May 31, 2014. 1. All sales during the year were made on account. 2. All merchandise was purchased on account, comprising the total accounts payable account. 3. Plant assets costing $98,000 were purchased by paying $28,000 in cash and issuing 7,000 shares of stock. 4. The "other expenses" are related to prepaid items. 5. All income taxes incurred during the year were paid during the year. 6. In order to supplement its cash, Chapman issued 2,000 shares of common stock at par value. 7. Cash dividends of $105,000 were declared and paid at the end of the fiscal year. - Prepare a cash Flow statement using the direct method for 12/31/14