Birch Corporation's calendar year-end 2019 and 2020 balance sheets showed the following items: 2020 2019

Cash 27,000 21,000 Account receivable 43,000 49,000 Merchandise inventory 113,000 97,000 Equipment. 96,000 81,000 Acc Dep - Equipment 25,000 16,000 Common shares 135,000 135,000 Retained earnings 119,000 97,000

Additional information about the corporation's activities during 2020 are:

Sales 342,000 COGS 185,000 Gross margin 157,000

Operating expenses: Depreciation 9,000 Other expenses 108,000 Total operating expenses 117,000

Net income 40,000 No equipment was sold during the year. Required:

Prepare a statement of cash flows for 2020 using the indirect method.