Cash flows has always been the most difficult concept for me in accounting level 2 and now that we are exploring using the INDIRECT method it's even more troublesome, please help and explain the calculations especially how to properly post for gain/loss on sales. Thank you!

Comparative Balance Sheets December 31 017 016 Assets $100,000 Cash 60,000 65,000 Accounts receivable Inventory 130,000 100,000 Prepaid expenses 13,000 18,000 Land 140,000 160,000 210,000 Equipment 180,000 (60,000) (40,000) Accumulated depreciation-equipment 250,000 Building 250,000 Accumulated depreciation-building 75,000 60,000 768,000 728,000 017 016 Liabilities and Stockholders' Equity Accounts payable 0.000 Bonds payable 230,000 270,000 Common stock, $1 par 200,000 270,000 Retained earnings 223,000 218,000 Additional information: 1. Operating expenses include depreciation expense of S50,000 and charges from prepaid expenses of $5,000. 2. Land was sold for cash of $25,000 3. Cash dividends of $52,000 were paid. 4. Net income for 201 7 was $57.000 5. Equipment was purchased for $90,000 cash. In addition, equipment costing $60,000 with a book value of $45,000 was sold for $38,000 cash. 6 $40,000 of bonds were redeemed 7. Issued 70,000 shares of common stock for $70,000 E Instructions Prepare a statement of cash flows for the year ended December 31, 2017 using the indirect method