Check my work CP12-3 Preparing a Statement of Cash Flows (Indirect Method) [LO 12-2, LO 12-3, LO 12-4, LO 12-5] Hunter Company is developing its annual financial statements at December 31. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized: Current Year Prior Year Balance Sheet at December 31 Cash Accounts Receivable Inventory Equipment Accumulated Depreciation-Equipment Total Assets Accounts Payable Salaries and Wages Payable Note Payable (long-term) Common Stock Retained Earnings Total Liabilities and Stockholders' Equity Income Statement (current year) Sales Revenue Cost of Goods Sold Other Expenses Net Income $ 52,030 33,300 36,300 118,700 (40,200) $200,130 $ 29,200 730 44,000 90,500 35,700 $200,130 $ 21,500 36,000 43,000 109,000 (33,500) $176,000 $ 25,500 1,000 55,000 67,000 27,500 $176,000 $ 107,000 64,500 29,800 $ 12,700 Check my work Additional Data: a. Bought equipment for cash, $9,700. b. Paid $11,000 on the long-term note payable. c. Issued new shares of stock for $23,500 cash. d. Declared and paid a $4,500 cash dividend. e. Other expenses included depreciation, $6,700, salaries and wages, $10,700; taxes, $3,700; utilities, $8,700. f. Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash. Required: 1. Prepare the statement of cash flows for the year ended December 31 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) HUNTER COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities: Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: 0 0 Cash Flows from Investing Activities: 0 Cash Flows from Financing Activities: 0