Use the Whitbey Group Inc. data from Problem 17-3A.
In Problem 17-3A

Required
1. Prepare the 2017 cash flow statement by the indirect method.
2. Evaluate the 2017 cash flow for this company.

WHITBEY GROUP INC Balance Sheet August 31,2017 and 2016 2017 2016 Current assets Cash and cash equivalents Accounts receivable Interest receivable Inventories Prepaid expenses $ 47,000 415,000 6,000 993,000 17,000 1,009,000 401,000 $2,888,000 $ 156,000 431,000 9,000 899,000 22,000 Plant and equipment, net Land Total assets Current liabilities 200,000 $2,654,000 Accounts payable Interest payable Wages payable Lease liabilities $ 114,000 63,000 71,000 181,000 73,000 $179,000 67,000 14,000 187,000 38,000 Income tax payable Long-term liabilities Notes payable Shareholders' equity Common shares Retained earnings 450,000 650,000 1,411,000 525,000 $2,888,000 1,223,000 296,000 $2,654,000 Total liabilities and shareholders' equity WHITBEY GROUP INC. Income Statement For the Year Ended August 31, 2017 Revenues Sales revenue $4,380,000 17,000 4,397,000 Interest revenue Total revenues Expenses Cost of goods sold Salaries expense Amortization expense Other operating expenses Interest expense Income tax expense $1,952,000 814,000 253,000 497,000 246,000 169,000 Total expenses 3,931,000 $ 466,000 Net income