1 Balance sheet 2 2020 2019 Diff Prepare a statement of CF with info given using the INDIRECT METHOD. 3 Cash 636,000 107,000 4 Acct rec'ble 132,000 145,000 529,000 (13,000) 5 Inventory 151,000 162,000 (11,000) 6 Prepaid expenses 99,000 93,000 6,000 7 Equipment 607,000 460,000 147,000 8 Acc depreciation - equipment (236,000) (212,000) (24,000) 9 Copyright 84,000 88,000 (4,000) 10 1,473,000 843,000 11 12 Accounts payable 119,000 112,000 7,000 13 Accrued liabilities 52,000 66,000 (14,000) 14 Common stock 778,000 478,000 300,000 15 PIC C/S 241000 121,000 120,000 16 Retained earnings 283,000 66,000 217,000 17 1,473,000 843,000 18 19 1. Change in Acc deprec represents only dep expense 20 21 22 2. Change in RE is for net income and dividends declared and paid in 2020 Income statement 23 Sales revenue 24 Cost of goods sold 25 Gross profit 26 Operating expenses 2,061,000 1,089,000 972,000 690,000 27 Net income 282,000 8 9 + 0