Blossom Inc., a greeting card company, had the following statements prepared as of December 31, 2020.

BLOSSOM INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019

Cash		$6,000			$7,000
Accounts receivable		62,600			50,600
Short-term debt investments (available-for-sale)		35,200			18,100
Inventory		39,600			59,700
Prepaid rent		5,000			4,000
Equipment		152,800			128,900
Accumulated depreciationequipment		(34,900	)		(24,800	)
Copyrights		45,900			49,800
Total assets		$312,200			$293,300
Accounts payable		$45,900			$39,900
Income taxes payable		4,000			6,000
Salaries and wages payable		8,100			3,900
Short-term loans payable		8,000			10,000
Long-term loans payable		60,500			68,500
Common stock, $10 par		100,000			100,000
Contributed capital, common stock		30,000			30,000
Retained earnings		55,700			35,000
Total liabilities & stockholders equity		$312,200			$293,300

BLOSSOM INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020

Sales revenue $337,675

Cost of goods sold 175,500

Gross profit 162,175

Operating expenses 119,500

Operating income 42,675

Interest expense $11,300

Gain on sale of equipment 2,000 9,300

Income before tax 33,375

Income tax expense 6,675

Net income $26,700

Additional information:

1. Dividends in the amount of $6,000 were declared and paid during 2020.

2. Depreciation expense and amortization expense are included in operating expenses.

3. No unrealized gains or losses have occurred on the investments during the year.

4. Equipment that had a cost of $20,000 and was 70% depreciated was sold during 2020.

Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)