Prepare cash flow statement using the indirect method

Assets	2017		2016
Cash	$ 80,800		$ 48,400
Accounts Receivable	92,800		33,000
Inventory	117,500		102,850
Prepaid expenses	28,400		26,000
Investments	143,000		114,000
Equipment	270,000		242,500
Accumulated depreciation--equipment	(50,000)		(52,000)
Total	$ 682,500		$ 514,750
Liabilities and Stockholders' Equity
Accounts payable	$ 112,000		$ 67,300
Accrued expenses payable	16,500		17,000
Bonds payable	110,000		150,000
Common stock	220,000		175,000
Retained earnings	224,000		105,450
Total	$ 682,500		$ 514,750

The following information pertain to the buisness net income:
Sales revenue			$ 454,707
Sales discount			$ 56,240
Sales return and allowance			$ 5,687
Beginning inventory			$ 251,890
Purchases			$ 511,692
Ending inventory			$ 628,122
Operating expenses, including depreciation of $46,500			$ 58,910
Income tax expense			$ 27,280
Interest expense			$ 4,730
Loss on disposal of plant assets			$ 7,500

Additional data:
1. New equipment costing $85,000 was purchased for cash during the year
2. Old equipment having an original cost of $57,000 was sold for $1,500 cash
3. Bonds matured and were paid off at face value for cash
4. A cash dividend of $40,350 was declared and paid during the year