Canace Products Inc. Income Statement For the Year ended December 31, 2014 $5,980,000 2,452,000 Sales Cost of Merchandise Sold Gross Profit 3,528,000 Operating Expenses Depreciation Expense Other Operating Expenses $44,000 3,100,000 Total Operating Expenses 3,144,000 384,000 Operating Income Other Expenses (64,000) Loss on Sale of Investments Income before Income Tax 320,000 Income Tax Expense 102,800 $217,200 Net Income Additional Information: Equipment and Land were acquired for cash. b. There were no disposals of equipment during the year. . Investments were sold for cash. . Common Stock was issued for cash. No Treasury Shares were purchased. Cash Dividends were declared and paid during the year. d. . Instructions: Prepare the Statement of Cash Flows for the year ended, December 31, 2014 using the Indirect Method Canace Products Inc. Comparative Balance Sheet December 31, 2014 and 2013 Assets 2014 $643,400 2013 $679,400 Cash Accounts Receivable (Net) 566,800 1,011,000 547,400 982,800 240,000 Inventories Investments 0 Land 520,000 0 Equipment Accumulated Depreciation 880,000 680,000 (200,400) $2,929,200 (244,400) $3,376,800 Total Assets Liabilities and Equity 2013 $748,400 2014 Accounts Payable $771,800 Accrued Expenses Payable Common Stock, $2 Par Paid-in Capital in Excess of Par Retained Earnings Total Liabilities and Equity 72,200 56,000 77,200 32,000 408,000 192,000 2,068,800 1,879,600 $2,929,200 $3,376,800 Cannco Droducts Inc