Comparative consolidated financial statements for Pop Corporation and its subsidiary, Sat Corporation, at and for the years ended December 31, 2012 and 2011 follow (in thousands).

REQUIRED: Prepare a consolidated statement of cash flows for the year ended December 31, 2012. The changes in equipment are due to a $100,000 equipment acquisition, current depreciation, and the sale of one-ninth of the fair value/book value differential allocated to equipment ($10,000) and related accumulated depreciation ($2,000). This reduction in the unamortized fair value/book value differential results from selling a 10 percent interest in Sat for $72,700 and thereby reducing its interest from 90 percent to 80 percent. Sat's net income and dividends for 2012 were $110,000 and $50,000, respectively. Use the indirectmethod.

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Pop Corporation and Subsidiary Comparative Consolidated Financial Statements at and for the Years Ended December 31, 2012 and 2011 Year's Change Year 2012 Year 2011 2012-2011 Income Statement $ 200.0 $3,050.0 $2,850.0 Sales Gain on 10% interest Cost of sales Depreciation expense Other expenses Noncontrolling interest share Net income 5.7 5.7 (1,750.7) (1.690.0) (508.0) (392.0) (60.7) (528.0) (20.0) (455.0) (63.0) (12.0) (22.0) $ 300.0 (10,0) $ 250.0 ১ 50.0 Retained Earnings Retained earnings-beginning $ 950.0 $ 50.0 50.0 $1,000.0 Net income 300.0 250.0 Dividends (200.0) $1,100.0 (200.0) $1,000.0 S 100.0 Retained earnings-ending Balance Sheet $ 46.5 87.5 $ 50.5 $ (4.0) (2.5) 130.0 Cash Accounts receivable-net 90.0 247.5 88.0 2,880.0 Inventories 377.5 Prepaid expenses Equipment Accumulated depreciation Land and buildings Accumulated depreciation Total assets (20.0) 68.0 2,970.0 90.0 (1,542.0) (1,044.0) (498.0) 960.0 960.0 (300.0) $2.667.5 (272.0) $3,000.0 $ 343.5 52.5 (28.0) $(332.5) S 140.0 Accounts payable Dividends payable Long-term notes payable Capital stock, $10 par Retained earnings Noncontrolling interest Total equities $(203.5) 52.5 245.0 1,000.0 545.0 1.000.0 (300.0) .0 1.100.0 1.000.0 100.0 130.0 59.0 $3.000.0 71.0 $(332.5) $2.667.5