Bike Winner Company was started several years ago by two downhill bike racing enthusiasts. The company's comparative bala sheets and income statement along with additional information are provided below Balance sheet at December al 5 4,040 1,750 Accounts Receivable Equipment Less: Accumulated Depreciation 5,700 (1,500) (1,250) $11,000 59,560 Accounts Payable Wages Payable Long-Term Bank Loan Payable Contributed Capital Retained Earnings $ 800 280 1,500 5 , 3,500 $ 1,600 750 500 5,000 2,250 $11,000 $ 9,500 Income Statement for 2020 Lessons Revenue Wages Expense Depreciation Expense Loss on Disposal of Equipment Income Tax Expense $37,500 35,000 500 55e 200 Net Income $ 1,250 Additional Data: a. Company bought new equipment for $2,000 cash and sold existing equipment for $500 cash. The equipment that was sold was purchased for $1.300 and had Accumulated Depreciation of $250 at the time of sale. b Borrowed $1.000 cash from the bank during the year Required: Prepare the statement of cash flows for the year ended December 31, 2020, using the indirect method