Tuit Inc a greeting card company has the following statements prepared as of December 31, 2009

Additional information
1. Dividends on common shares in the amount of $6,000 were declared and paid during 2009.
2. Amortization expense is included in operating expenses as are salaries and wages expense of $69,000.
3. Equipment with a cost of $20,000 that was 70% amortized was sold during 2009.

Instructions
a) Prepare a Statement of Cash Flows using the direct method.
b) Prepare a Statement of Cash Flows using the indirectmethod.

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Tuit Inc comparative statement of financial position 12/31/2009 Particulars Cash and cash equivalents Accounts Receivable Inventories Prepaid rent Printing equipment Accumulated amortization-equipment goodwil Total Assets Accounts payable income taxes payable wages payable 2009 2008 S 41,00025,000 S 68,00051,000 S 40.000 60,000 5.000 S 4.000 S 154.000 S 130,000 35.000) S (25.000) S 30.000 50,000 303,000 |$ 295,000 S 46,000 40,000 4.000 S 6.000 8,000 S4,000 8,000S 10,000 S 60,00069,000 S 130,000 130,000 S 47,00036.000 short term loans payable long-term loans payable common shares retained earnings Total liabilities and shareholders equity S 303,000S 295,000 Tuit inc Income statement Year Ending December 31 2009 Amount Amount Particulars S 338,150 S 165,000 S 173.150 S 120,000 S 53,150 Sales cost of Goods sold Gross Margin operating expenses operating income Interest expenses mpairment loss goodwill gain on sale of equipment Income before tax ncome tax expense Net Income S 11.400 S 20,000 S (2,000 S29,400 S 23,750 S 6,750 S 17,000