Cash Flow Statement During 2001, the London Prime Company reported net income of $5,000,000 and paid dividends of $3,000,000. The company had no sales of property, plant, and equipment during the year. Use the following information for the London Prime Company to prepare a statement of cash flows for the year ended December 31, 2001, using the indirect approach:

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London Prime Company Balance Sheets, December 31 2001 2000 Cash $ 200,000 $ 180,000 Accounts receivable 580,000 510,000 Inventory 1,020,000 970,000 Prepaid expenses 50,000 70,000 Property, plant, & equipment Less accumulated depreciation Goodwill (net) Total assets Accounts payable Income taxes payable Long-term debt Common stock Retained earnings Total liabilities and owners' equity 30,000,000 25,000,000 (15,000,000) 9,000,000 (12,000,000) 10,000,000 $ 25,850,000 $ 24,730,000 $ 300,000 $ 340,000 450,000 290,000 9,000,000 10,000,000 8,000,000 8,100,000 $ 25,850,000 8,000,000 6,100,000 $ 24.730,000