Prepare a statement of cash flows using the DIRECT & INDIRECT method.

E23-13B (L02,3) (SCF Direct Method) Jackson Ski Haus had the following statements prepared as of December 31, 2017 JACKSON SKI HAUS COMPARATIVE BALANCE SHEET As oF DECEMBER 31 2017 2016 $ 4,000 97,000 121,000 54,000 6,000 43,000 (18,000) 83,000 390,000 Cash Accounts receivable $ 2,500 91,000 Prepaid insurance Ski equipment Accumulated depr-equipment Trademarks 89,000 79,000 $441,000 $92,200 21,800 Total assets $ 75,000 15,700 payable Income taxes pavable Wages payable Short-term loans pavable to bank Long-term loans payable Common stock, S1 par Additional paid-in capital Retained earnings 23,500 75,000 20,000 104,500 $441,000 100,000 20,000 45,300 390,000 Total liabilities & equity JACKSON SKI HAUS INCOME STATEMENT FoR THE YEAR ENDING DECEMBER 31, 2017 Sales Cost of goods sold Gross margin Operating expenses Operating income Interest expense Loss on sale of equipment Income before income tax Income tax expense Net income 94,000 144,200 20,500 4,000 24,500 119,700 500 $ 79,.200 Additional information: 1. 2. 3. Dividends in the amount of $20,000 were declared and paid during 2017. Depreciation expense and amortization expense are included in operating expenses. Equipment that had a cost of $25,000 and was 20% depreciated was sold during 2017