Additional Information a. A$36,400 note payable is retired at its $36,400 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 $65,600 cash. d. Received cash for the sale of equipment that had cost $56,600, yielding a $2,800 gain. e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit. Using the direct method, prepare the statement of cash flows for the year ended June 30, 2021. Note: Amounts to be deducted should be indicated with a minus sign. The following financial statements and additional information are reported. \begin{tabular}{lrr} \multicolumn{2}{c}{ IKIBAN INCORPORATED } \\ At June 30 & 2021 & \\ Assets & & 2020 \\ Cash & $82,700 & $52,000 \\ Accounts receivable, net & 77,000 & 59,000 \\ Inventory & 71,800 & 98,500 \\ Prepaid expenses & 5,200 & 7,000 \\ Total current assets & 236,700 & 216,500 \\ Equipment & 132,000 & 123,000 \\ Accumulated depreciation-Equipment & (31,000) & (13,000) \\ Total assets & $337,700 & $326,500 \\ Liabilities and Equity & & \\ Accounts payable & $33,000 & $42,000 \\ Wages payable & 6,800 & 16,600 \\ Income taxes payable & 4,200 & 5,400 \\ Total current liabilities & 44,000 & 64,000 \\ Notes payable (long term) & 31,600 & 68,000 \\ Total liabilities & 75,600 & 132,000 \\ Equity & & \\ Common stock, $5 par value & & \\ Retained earnings & 236,000 & 168,000 \\ Total liabilities and equity & 26,100 & 26,500 \\ \cline { 2 - 3 } & $337,700 & $326,500 \\ \hline \end{tabular} IKIBAN INCORPORATED Income statement