$480,000 For the Year Ended December 31, 2017 Sales Less: Cost of Goods Sold $290,000 Operating Expenses (Excluding Depreciation) 60,000 Depreciation Expense 17,000 Income Taxes 15,000 Interest Expense 13,000 Loss on Disposal of Plant Assets 8,000 Net income 403,000 $ 77.000 2016 GORNI COMPANY Comparative Balance Sheet December 31 2017 Assets Cash $72.900 Accounts Receivable 82,000 Inventories 120,000 Prepaid Expenses 19,000 Investments 80,000 Plant Assets 310,000 Accumulated Depreciation (65,000) Total $616.000 Liabilities and Stockholders' Equity Accounts Payable $185.000 Accrued Expenses Payable 22,000 Bonds Payable 130,000 Common Stock 245,000 Retained Earnings 134,000 Total $616,000 $ 35,000 53,000 132,000 25,000 65,000 250,000 (60,000) $500,000 $ 75,000 24,000 150,000 170,000 81,000 $500,000 Additional information: 1. New plant assets costing $85,000 were purchased for cash in 2017. 2. Old plant assets costing $25,000 were sold for $5,000 cash when book value was $13,000. 3. Bonds with face value of $20,000 were converted into $20,000 of common stock. 4. A cash dividend was declared and paid during the year. Instructions: Prepare a statement of cash flows for the year using the indirect method