Comparative balance sheets at December 31, 2019 and 2020, for the Morse Company are shown below. Balance Sheets Cash Accounts Receivable Inventory Prepaid Expenses Land Plant Assets Accumulated Depreciation Franchise Total Assets 2019 $68,200 81,400 129,800 5.500 0 246,400 (94-600) 35 200 $421 900 2020 $131.450 86.900 136,400 6,600 20.950 B06.900 (188.00 26, 100 SG 1600 Accounts Payable Notes Payable Bonds Payable Common Stock Additional Paid in Capital Retained Earnings Total Liabilities and Equity $45, 100 69 300 10 275.000 50,600 31.900 $471 900 $58/300 800 11.900 BOLS001 61.600 149.500 So 600 Additional Information: 1. A fully depreciated plant asset, which originally cost $22.000 and had no salvage value, was sold for $1,100. 2. Bonds payable were issued at par value. One-half of the bonds were exchanged for land: the remaining one-half was issued for cash. 3. Common stock was sold for cash. 4. The only entries in the Retained Earnings account are for dividends paid and for the net income for the year. You will have to calculate dividends paid from the information provided. 5. Normal depreciation expense was recorded during the year and the franchise was amortized. 6. The income statement for the year is as follows: Sales Cost of Sales Gross Profit Operating Expenses Income before gain Gain on sale of plant asset Net Income $204,600 112200 92,400 64.900 D7.500 1.100 $28,600 Instructions: Prepare a statement of cash flows using the indirect method