BUSINESS SOLUTIONS

Comparative Balance Sheets

March $31,2022$ December $31,2021$

Assets

Cash $ $79,307$ $ $53,962$

Accounts receivable $24,1675,068$

Inventory $7040$

Computer supplies $2,055520$

Prepaid insurance $1,0701,615$

Prepaid rent $775775$

Total current assets $108,07861,940$

Office equipment $7,4007,400$

Accumulated depreciation$$Office equipment $(740)(370)$

Computer equipment $19,60019,600$

Accumulated depreciation$$Computer equipment $(2,440)(1,220)$

Total assets $ $131,898$ $ $87,350$

Liabilities and Equity

Accounts payable $ $0$ $ $1,190$

Wages payable $965500$

Unearned computer service revenue $02,100$

Total current liabilities $9653,790$

Equity

Common stock $107,00076,000$

Retained earnings $23,9337,560$

Total liabilities and equity $ $131,898$ $ $87,350$

Required:

Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March $31,2022.$ Owner Santana Rey contributed $$31,000$ to the business in exchange for additional stock in the first quarter of $2022$ and has received $$3,900$ in cash dividends.

Note: Amounts to be deducted should be indicated with a minus sign.