2019 Oakley Company Comparative Balance Sheets December 31 Assets 2020 Cash $83,200 Accounts receivable 90,300 Inventory 125,700 Investments 85,000 Equipment 253,000 Accumulated depreciation-equipment (48,500 $588,700 $47,100 58,000 101,500 87,000 205,000 (39,000) $459,600 Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Bonds payable Common stock Retained earnings $57,100 11,900 100,000 249,000 170,700 $588,700 $47,800 18,600 71,000 196,000 126,200 $459,600 Oakley Company Income Statement For the Year Ended December 31, 2020 Sales revenue $297,700 8,100 Gain on disposal of plant assets 305,800 Less: Cost of goods sold Operating expenses (excluding depreciation expense) Depreciation expense Income tax expense Interest expense $101,200 14.000 49,200 6,600 3,000 174,000 Net income $131,800 Additional information: 1. 2. Equipment costing $105,000 was purchased for cash during the year. Investments were sold at cost. Equipment costing $57,000 was sold for $25,400, resulting in gain of $8,100. A cash dividend of $87,300 was declared and paid during the year. 3. 4. Prepare a worksheet for the statement of cash flows using the indirect method. Enter the reconciling items directly in the worksheet columns. (Show details of retained earnings and accumulated depreciation, do not net) OAKLEY COMPANY Worksheet-Statement of Cash Flows Balance Reconciling Items Balance 12/31/19 Debit Credit 12/31/20 Credits Totals Statement of Cash Flow Effects