12-7A (Part Level Submission) Presented below are the financial statements of Kurtzel Company.

KURTZEL COMPANY Comparative Balance Sheets December 31
Assets	2014	2013
Cash	$35,000	$20,000
Accounts receivable	20,000	14,000
Inventory	28,000	20,000
Property, plant, and equipment	60,000	78,000
Accumulated depreciation	(32,000	)	(24,000	)
Total	$111,000		$108,000
Liabilities and Stockholders Equity
Accounts payable	$19,000	$15,000
Income taxes payable	7,000	8,000
Bonds payable	17,000	33,000
Common stock	18,000	14,000
Retained earnings	50,000		38,000
Total	$111,000		$108,000

KURTZEL COMPANY Income Statement For the Year Ended December 31, 2014
Sales revenue	$242,000
Cost of goods sold	175,000
Gross profit	67,000
Selling expenses	$18,000
Administrative expenses	6,000	24,000
Income from operations	43,000
Interest expense	3,000
Income before income taxes	40,000
Income tax expense	8,000
Net income	$32,000

Additional data:

1.	Depreciation expense was $17,500.
2.	Dividends declared and paid were $20,000.
3.	During the year equipment was sold for $8,500cash. This equipment cost $18,000originally and had accumulated depreciation of $9,500at the time of sale.

Prepare a statement of cash flows using the indirect method.(Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)