please explain how this is done.

The comparative unclassified statement of financial position for Sunland Ltd. follows: SUNLANDLTD. Statement of Financial Position December 31 Assets 2021 2020 Cash $54,000 $29.000 Accounts receivable 85,000 80,500 174,000 181,500 Inventory Estimated inventory returns Long-term investments 8,000 4,000 79,000 110,000 Equipment 265,000 156,000 Accumulated depreciation (75,000) (33,000) Total assets $590,000 $528,000 Liabilities and Shareholders' Equity Accounts payable $27,000 $ 41,000 Refund liability 9,000 4,000 Bank loan payable (noncurrent) 116,000 180,000 Common shares 219,000 171,000 Common shares 219,000 171,000 Retained earnings 219,000 132,000 Total liabilities and shareholders' equity $590,000 $528,000 Additional information pertaining to 2021: 1. Net income was $88,700. 2 Sales were $970,000. 3. Cost of goods sold was $758,000. 4. Operating expenses were $44,000, exclusive of depreciation expense. 5. Depreciation expense was $42,000. 6. Interest expense was $14,000. 7. Income tax expense was $29,000. 8. Long-term investments were sold at a gain of $5,700. 9. No equipment was sold during the year. 10. $64,000 of the bank loan was repaid during the year. 11. Common shares were issued for $48,000. Prepare a statement of cash flows using the indirect method (Show amounts that decrease cash flow with either a - sign eg. -45,000, or in parenthesis eg. (45,000).) SUNLAND LTD. Statement of Cash Flows-Indirect Method $ Adjustments to reconcile net income to V $ > > .