2 5 points $ 24, 307 18,093 42,400 BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2020 Computer services revenue Net sales Total revenue Cost of goods sold $14,152 Depreciation expense-Office equipment 330 Depreciation expense-Computer equipment 1,170 Wages expense 2,950 Insurance expense 545 Rent expense 1,975 Computer supplies expense 1,285 Advertising expense Mileage expense 300 Repairs expense-Computer 910 Total expenses Net income eBook 520 Print 24,137 $18, 263 D References Dec. 31, 2019 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2019, and March 31, 2020 Mar. 31, 2020 Assets Cash $ 72,057 Accounts receivable 24, 267 Inventory 634 Computer supplies 2,055 Prepaid insurance 1,100 Prepaid rent 805 Total current assets 100,918 Office equipment 7,000 Accumulated depreciation office equipment (660) Computer equipment 19,500 Accumulated depreciation-Computer equipment (2,340) Total assets $ 124,418 Liabilities and Equity Accounts payable $ 0 Wages payable 895 Unearned computer service revenue 0 Total current liabilities 895 Equity Common stock 102,000 Retained earnings 21,523 Total liabilities and equity $ 124,418 $52,762 5,368 0 530 1,595 805 61,060 7,000 (330) 19,500 (1,170) $ 86,060 $ 1,190 510 1,700 3,400 75,000 7,660 $ 86,060 Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $27,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $4,400 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.) BUSINESS SOLUTIONS Statement of Cash Flows (Indirect) For Quarter Ended March 31, 2020 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities $ 0 Cash flows from investing activities Net cash used in investing activities Cash flows from financing activities 0 $ 0 Cash balance at December 31, 2019 Cash balance at March 31, 2020 $ 0