To prepare the statement of cash flows, accountants for Ball State Corp. have summarized 19X8 activity in two accounts as follows:

\section*{Required}
1. Prepare Ball State's statement of cash flows for the year ended December \(31,19 \mathrm{X} 8\), using the direct method to report operating activities. Also prepare the accompanying schedule of noncash investing and financing activities.

Ball State's \(19 \times 8\) income statement and selected balance sheet data follow.

2. Use these data to prepare a supplementary schedule showing cash flows from operating activities by the indirect method. All activity in the current accounts results from operations.
Preparing the statement of cash flows-indirect and direct methods \((\) Obj. \(3,4,5)\)

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Cash Beginning balance 87,100 Payments of operating Issuance of common stock 34,600 expenses 46,100 Receipts of dividends 1,900 Payment of long-term debt 78,900 Collection of loan 18,500 Purchase of treasury stock 10,400 Sale of investments 9,900 Payment of income tax 8,000 Receipts of interest 12,200 Payments on accounts Collections from payable 101,600 customers 298,100 Payment of dividends 1,800 Sale of treasury stock 26,200 Payments of salaries and wages 67,500 Payments of interest 21,800 Purchase of equipment 79,900 Ending balance 72,500 Common Stock Beginning balance 103,500 Issuance for cash 34,600 Issuance to acquire land 62,100 Issuance to retire long-term debt 21,100 Ending balance 221,300