Classification of Cash Flows}

Rolling Meadows Country Club Limited is a privately owned corporation that operates a golf club. Rolling Meadows reported the following inflows and outflows of cash during 2018:

Rolling Meadows had cash on hand at \(1 / 1 / 18\) of \(\$ 10,300\).
\section*{Required:}
1. Prepare a properly formatted statement of cash flows using the indirect method.
2. What can you conclude by examining the patterns in Rolling Meadows' cash flows?
\section*{Problem

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Net income Decrease in accounts receivable Increase in pro shop inventory $115,300 Cash received from sale of used golf carts 5,125 Depreciation expense, buildings $ 9,200 49,100 28,600 Depreciation expense, golf carts 23,700 Increase in prepaid insurance 15,800 Proceeds from issuance of note payable 45,000 Increase in accounts payable 11,400 Payment on mortgage payable 28,000 Decrease in wages payable 9.210 Cash received from issuance of Increase in income tax payable 7,500 common shares 38,500 Cash paid for new golf carts 115,000 Payment of cash dividends 45.000