Additional information for the 2021 fiscal year ( $ in thousands ):

1. Cash dividends of $1,000 were declared and paid. 2. Equipment costing $4,000 was purchased with cash. 3. Equipment with a book value of $500 (cost of $1,500 less accumulated depreciation of $1,000) was sold for $500. 4. Depreciation of $1,600 is included in operating expenses.

Prepare Santana Industries' 2021 statement of cash flows, using the indirect method to present cash flows from operating activities.

Presented below are the 2021 income statement and comparative balance sheets for Santana Industries P4-11 Statement of cash flows indirect method .LO4-8 > $17.650 SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2021 in thousands Sales revenue $14,250 Service revenue 3.400 Total revenue Operating expenses Cost of goods sold 7,200 Selling expense 2.400 General and administrative expense Total operating expenses Operating income Interest expense Income before income taxes Income tax expense Net Income 1,500 11,100 6,550 150 6,400 1.600 $ 4.800 Dec 31, 2021 Dec 31, 2020 $ 8,300 2.500 4,000 $ 2.200 2,200 3,000 150 300 14,500 15.100) $24,350 12.000 (4,500) $15.200 Balance Sheet Information is in thousands) Assets Cash Accounts receivable Inventory Prepaid rent Equipment Less: Accumulated depreciation Total assets Liabilities and shareholders' equity: Accounts payable Interest payable Deferred revenue Income taxes payable Notes payable (due 12/31/2023) Common stock Retained earnings Total liabilities and shareholders' equity $ 1.100 600 800 $ 1,400 100 800 550 5,000 10.000 6,500 $24,350 10,000 2.700 $15.200