Alex Company Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Prepaid expenses Land Buildings Accumulated depreciation-buildings Equipment Accumulated depreciation equipment Totals 2020 $61,000 56,000 42,000 6,000 52,000 186,000 (22,500) 186,000 (25,000) $541,500 2019 $34,000 22,000 -0- 4,000 67,000 186,000 (15,000) 64,000 (10,600) $351,400 Change Increase/Decrease $27,000 Increase 34,000 Increase 42,000 Increase 2,000 Increase 15,000 Decrease -0- 7,500 Increase 122,000 Increase 14,400 Increase Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Bonds payable Common stock ($1 par) Retained earnings Totals $43,000 -0- 102,000 212,000 184,500 $541,500 $39,000 11,000 149,000 65,000 87,400 $351,400 $4,000 11,000 47,000 147,000 97,100 Increase Decrease Decrease Increase Increase Alex Company Income Statement For the Year Ended December 31, 2020 Sales revenue $902,000 Cost of goods sold $433,000 Operating expenses 226,000 Interest expense 13,000 Loss on disposal of plant assets 1,000 673,000 Income before income taxes 229,000 Income tax expense 65,000 Net income $164,000 Additional information: 1. 2. 3. 4. 5. 6. Operating expenses include depreciation expense of $36,900. Land was sold at its book value for cash. Cash dividends of $66,900 were declared and paid in 2020. Equipment with a cost of $169,000 was purchased for cash. Equipment with a cost of $47,000 and a book Bonds of $47,000 were redeemed at their face value for cash. Common stock ($1 par) of $147,000 was issued for cash. Use this information to Prepare a statement of cash flows using the indirect method. (Show amounts that de ALEX COMPANY Statement of Cash Flows-Indirect Method Adjustments to reconcile net income to