The comparative balance sheet of Bosco Bolt Co. at June 30, 19X7, included the following balances:

Transaction data for the year ended June \(30,19 X 7\) :

a. Net income, \(\$ 56,200\).

b. Depreciation expense on equipment, \(\$ 5,400\).

c. Purchased long-term investment, \(\$ 4,900\).

d. Sold land for \(\$ 46,900\), including \(\$ 6,700\) loss.

e. Acquired equipment by issuing long-term note payable, \(\$ 14,300\).

f. Paid long-term note payable, \(\$ 61,000\).
g. Received cash for issuance of common stock, \(\$ 3,900\).
h. Paid cash dividends, \(\$ 38,100\).
i. Paid short-term note payable by issuing common stock, \(\$ 4,700\).
\section*{Required}
1. Prepare the statement of cash flows of Bosco Bolt Co. for the year ended June \(30,19 \times 7\), using the indirect method to report operating activities. Also prepare the accompanying schedule of noncash investing and financing activities. All current accounts except short-term notes payable result from operating transactions.
2. Prepare a supplementary schedule showing cash flows from operations by the direct method. The income statement reports the following: sales, \(\$ 237,300\); interest revenue, \(\$ 10,600\); cost of goods sold, \(\$ 82,800\); salary expense, \(\$ 38,800\); other operating expenses, \(\$ 42,000\); depreciation expense, \(\$ 5,400\); income tax expense, \(\$ 9,900\); loss on sale of land, \(\$ 6,700\); interest expense, \(\$ 6,100\).

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Bosco BOLT Co. BALANCE SHEET JUNE 30, 19X7 AND 19X6 19X7 19X6 Increase (Decrease) Current assets: Cash......... $ 16,500 $ 8,600 $ 7,900 Accounts receivable.. 45,900 48,300 (2,400) Interest receivable. 2,900 3,600 (700) Inventories 68,600 60,200 8,400 Prepaid expenses. 3,700 2,800 900 Long-term investment.. 10,100 5,200 4,900 Equipment, net.. 82,500 73,600 8,900 Land. 42,400 96,000 (53,600) $272,600 $298,300 S(25,700) Current liabilities: Notes payable, short-term (for general borrowing).. Accounts payable.. Income tax payable.. $ 13,400 $ 18,100 S (4,700) 42,400 40,300 2,100 13,800 14,500 (700) Accrued liabilities.. 8,200 9,700 (1,500) Interest payable. 3,700 2,900 800 Salary payable. 900 2,600 (1,700) Long-term note payable. 47,400 94,100 (46,700) Common stock... 59,800 51,200 8,600 Retained earnings. 83,000 64,900 18,100 $272,600 $298,300 $(25,700)