Activity 12-2 The current sections of Bennington Inc.'s balance sheets at December 31, 2009 and 2010, are presented here Bennington's net income for 2010 was $138,000. Depreciation expense was $29,000. 20102009 Current assets Cash Accounts receivable Inventory Prepaid expenses $106,000 99,000 89,000 172,000 98,000 168,000 Total current assets $400.000 $382,000 Current liabilities Accrued expenses payable Accounts payable 13,000 5,000 85.000 92.000 Total current liabilities $ 98,000 97.000 Instructions Prepare the net cash provided by operating activities section of the company's statement of cash flows for the year ended December 31, 2010, using the indirect method. 12-3 The following information is available for Colaw Corporation for the year ended December 31, 2010. Beginning cash balance Accounts payable decrease Depreciation expense Accounts receivable increase Inventory increase Net income Cash received for sale of land at book value Sales Cash dividends paid Income tax payable increase Cash used to purchase building Cash used to purchase treasury stock Cash received from issuing bonds 35,000 3,200 172,000 8,200 13,000 269,100 35,000 747,000 12,000 4,700 114,000 32,000 150,000 Instructions Prepare a statement of cash flows using the indirect method