The comparative balance sheets for Nelson Company appear below:

Additional information:
1. Net income for the year ending December 31, 2012, was $20,000.
2. Cash dividends of $12,000 were declared and paid during the year.
3. Long-term investments that had a book value of $18,000 were sold for $13,000.
4. Sales for 2012 are $120,000.
5. Issued new common stock of $50,000 in exchange for new equipment

Instructions
Prepare a statement of cash flows for the year ended December 31, 2012, using the indirectmethod.

Comparative Balance Sheet Dec. 31, 2012 Dec. 31, 2011 Assets Cash Accounts receivable Prepaid expenses Inventory Long-term investments Equipment Accumulated depreciation-equipment Total assets Liabilities and Stockholders' Equity Accounts payable Bonds payable Common stock Retained eamings Total liabilities and stockholders' equity S 30,000 16,000 7,000 25,000 S13.000 14,000 9.000 15.000 18,000 30,000 (14,000) 85,000 110,000 (18,000) S170,000 S 25,000 37,000 90,000 18,000 S170,000 S7,000 45,000 23,000 10,000 85,000