Question 3 View Policies Current Attempt in Progress Condensed financial data of Vaughn Company for 2020 and 2019 are presented below. VAUGHN COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31,2020 AND 2019 2020 2019 Cash $1,830 $1,160 Receivables 1,750 1270 1,580 Inventory 1,860 Plant assets 1,900 1,690 Accumulated depreciation (1,190) (1.150) Long-term investments (held-to-maturity) 1280 1400 $7.150 $6230 $1220 $920 Accounts payable 250 Accrued liabilities 210 Bonds payable 1520 1410 Common stock 1,910 1730 Retained earnings 2,400 1810 $7,150 $6230 VAUGHN COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31,2020 $6,930 Sales revenue Cost of goods sold 4,670 Gross margin 2.260 Selling and administrative expenses 940 1320 Income from operations Other revenues and gains Gain on sale of investments 80 Income before tax 1400 550 Income tax expense Net income 850 Cash dividends 260 Income retained in business $590 Additional information During the year, $70 of common stockwas issued in exchange for plant assets. No plant assets were sold in 2020. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign eg-15,000 or in parenthesis es. (15,000)) VAUGHN COMPANY Statement of Cash Flows (Indirect Method) Adjustments to reconcile net income to $ eTextbook and Media