4 Required information Exercise 12-11 Indirect: Preparing statement of cash flows LO P1, P2, P3, A1 The following information applies to the questions displayed below) The following financial statements and additional information are reported. Part 3 of 3 1.25 points Conparative Balance Sheets June 30, 2017 and 2016 2017 2016 04:02 Cash Accounts receivablc, net Inventory Prepaid expenses Total current assets Equipment Accun. depreciation Equipment Total assets $106,300 46,000 53,000 89,500 5,800 194,300 117,000 128,0001 10,000 $342,700 301,300 6B,000 65,800 4,600 244,700 126,000 eBook Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Sotes payable (long term) Total liabilities Equity Common stock, 5 par value Retained earnings Hint $ 27,000 6,200 3,600 36,800 32,000 6B, 800 33,000 15,400 4,200 Print 62,000 114,600 162,000 24,700 $342,700 301,300 224,000 49,900 References Total 1iabilities and equity Income Statenent For Year Ended June 30, 2017 Sales Cost of goods sold Groas profit Operating expenaea $688,000 413,000 275,000 Depreciation expense Other expenses $60, 600 69,000 Total operating expenses Other gains {losses) Incone before taxes 129,600 145,400 Gain on sale of equipment 2,200 147,600 44,090 $103,510 Set income 4 Additional Information a. A S30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $59,600 cash. d. Received cash for the sale of equipment that had cost $50,600, yielding a $2,200 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement f. All purchases and sales of inventory are on credit. Part 3 of 3 1.25 points Exercise 12-128 Direct: Preparing statement of cash flows LO P1, P3, P5 Using the direct method, prepare the statement of cash flows for the year ended June 30, 2017. (Amounts to be deducted should be indicated with a minus sign.) eBook Hint Statement of Cash Flows (Direct Method) For Year Ended June 30, 2017 Cash flows from operating activities Print References Cash flows from investing activities Cash flows from financing actvities Net increase (decrease) in caslh Cash balance at prior year-end Cash balance at current vear-end