Show me how Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 2088, is as follows: Dec. 31, 2019 Dec. 31, 20Y8 Assets Cash $316,110 $292,360 Accounts receivable (net) 114,510 105,000 Inventories 323,260 310,900 Investments 0 120,440 Land 165,810 0 356,670 Equipment Accumulated depreciation-equipment 274,860 (83,500) Total assets (74,120) $1,029,440 $1,192,860 $215,910 $202,800 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) Accrued expenses payable (operating expenses) Dividends payable Common stock, $10 par Paid-in capital in excess of par-common stock 21,470 26,770 11,930 9,260 64,410 50,440 242,150 140,000 Retained earnings 636,990 600,170 Total liabilities and stockholders' equity $1,192,860 $1,029,440 Additional data obtained from an examination of the accounts in the ledger for 2049 are as follows: a. Equipment and land were acquired for cash. There are no flenneale of Anument durinn the rear Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $215,910 $202,800 Accrued expenses payable (operating expenses) 21,470 26,770 Dividends payable 11,930 9,260 Common stock, $10 par 64,410 50,440 Pald-in capital in excess of par--common stock 242,150 140,000 Retained earnings 636,990 600,170 Total liabilities and stockholders' equity $1,192,860 $1,029,440 Additional data obtained from an examination of the accounts in the ledger for 2049 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. C. The investments were sold for $140,910 cash. d. The common stock was issued for cash e. There was a $85,200 credit to Retained Earnings for net income f. There was a $48,380 debit to retained Earnings for cash dividends declared. Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: Net Income Adjustments to reconcile net income to net cash flow from operating activities Depreciation Gain on sale of investments Check My Work Previous eBook Show Me How Prepare a statement of cash flows, using the Indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: Net Income Adjustments to reconcile net income to net cash flow from operating activities: Depreciation Gain on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash flow from operating activities Cash flows from (used for) Investing activities: Cash received from sale of Investments Cash paid for purchase of land Cash paid for purchase of equipment Net cash flow used for investing activities Cash flows from (used for) financing activities: 1000 Qol QC Cash received from sale of common stock Cash paid for dividends eBook Show Me How Gain on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash flow from operating activities Cash flows from (used for) investing activities: Cash received from sale of investments Cash paid for purchase of land Cash paid for purchase of equipment Net cash flow used for investing activities Cash flows from (used for) financing activities: Cash received from sale of common stock Cash paid for dividends Net cash flow from financing activities Net Increase in cash Cash balance, January 1, 2049 Cash balance, December 31, 2019 o llll DOO DO Todo