Complex Transactions, Unrealized Gains and Losses, Equity Method Investments, Pension Expense, Bond Premiums. Salat, Inc. had net income of $ 78,800 in the current year.
• Salat experienced net unrealized gains on investment securities of $ 6,200 reported in net income and net unrealized losses of $ 2,200 reported in other comprehensive income.
• Salat reported $ 8,300 in income from investments it accounts for under the equity method. It received $ 2,500 in cash dividends from these investments.
• Salat determined that its pension expense for the year is $ 5,500 and contributed $ 3,700 into its plan during the year.
• Salat had amortized $ 500 of bond premium. Prepare the operating section of the cash flow statement under the indirect method.