Aylmer Inc has the following comparative financial statements. Aylmer Inc Statement of Financial Position December 31 Current Assets Cash Accounts Receivable Inventory Prepaid Items Long-term investments Property and Equipment Y2 Less: Accumulated Depreciation TOTAL ASSETS Y1 Aylmer Inc Income Statement December 31 Sales Revenue $ 156,900 $ 106,000 Cost of Sales 142,500 146,500 94,000 187,000 21,100 186,000 13,000 186,000 1,245,000 1,162,000 Gross Margin Operating Expense Income from Operations Interest Expense Gain on disposal of equipment 375,000 377,000 $ 1,523,000 $1,371,000 Current Liabilities Accounts Payable $ 52,000 $ 66,000 Income Tax Payable 26,000 25,000 Bonds Payable 676,000 765,000 Common Shares 295,000 249,000 Retained Earnings 474,000 266,000 TOTAL LIABILITIES & EQUITY $ 1,523,000 $1,371,000 Income before income tax income tax Net Income Other important information: Depreciation expense is included in "operating expenses." All accounts payable transactions were related to the purchase of inventory. During the year, a piece of equipment that originally cost $54,100 was sold for cash. The equipment was 70% depreciated at the time of the sale. Dividends were declared and paid during the year. REQUIRED Prepare the statement of cash flow using the direct method, Aylmer follows ASPE. Y2 $ 1,149,800 675,000 474,800 225,000 249,800 4,900 3,700 248,600 19,500 $ 229,100