1 kloped The management team of Wickersham Brothers Inc. is preparing its annual financial statements. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statements are summarized. Balance Sheet Assets Dirrent Year Prior Year Cash $62,100 583,700 Accounts receivable 92,000 no,500 Herchandise inventory 69,000 74,750 Property and equipment. 128,000 69,000 Less Accumulated depreciation (35,920) (18,000) Total assets 5315.100 1209.950 Liabilities Accounts payable Salaries and wages Payable Notes payable, Jong-term $11,500 2,300 57,500 513,000 1,158 69,000 Stockholders Equity: Common stock 112,000 02,000 Retained earnings 131,500 114,000 Total liabilities and stockholders' equity $315,108 1389,950 Income Statement $260,000 Cost of goods sold 140,000 17,920 Depreciation expense Other expenses) Net Income 65,000 $37,000 Other information from the company's records includes the following . Bought equipment for cash, $59,000 Paid $11,500 on long-term note payable. Issued new shares of common stock for $20,000 cash. Cash dividends of $19.200 were declared and paid to stockholders Accounts Payable arose from inventory purchases on credit. Income tax expense ($9,270) and interest expense ($3,450) were paid in full at the end of both years and are included in Other Expenses Required: a. Prepare the statement of cash flows using the indirect method. Include any supplemental disclosures. (Enter any deductions and cash outflows as a negative value.) ed WICKERSHAM BROTHERS Inc. Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities: Adjustments to reconcile net income to net cash provided by operating activities: Changes in current assets and current liabilites: $ 0 Cash Flows from Investing Activities: S 0 Cash Flows from Financing Activities: Cash and Cash Equivalents, beginning of period Cash and Cash Equivalents, end of period Supplemental Disclosures: S $ O