47,000 25,000 21,000 15,000 120.000 $128.000 Common stock Retained earnings $12,000 31,000 10,000 25,000 24,000 13,000 10,000 41,000 120.00 128.002 APPALACHIAN MOUNTAIN COMPANY Income Statement For the Year Ended December 31, 2014 $350,000 ales Cont of gpods soid Gross profit Selling expenses 70,000 $20,000 16.000 36.00 34,000 income from operations Interest expense income before income taxes income tax expense fNet income 30,000 2.000 1 Dividends declared and paid were $16,000. 2. During the year equipment was sold for $12,000 cash. This equipment cost $28,000 originally and had a 3. All depreciation expense is in the selling expense category 5 Accounts payable pertain to merchandise suppliers nstructions Prepare a statement of cash flows for Appalachian Mountain Company using the direct method book value of $12,000 at the time of sale. All sales and purchases are on account. All operating expenses except for depreciation were paid in cash. 4490 TEAR OFF THE LAST PAGE AND PREPARE CFS ON THAT PAGE