Condensed financial data of Blue Spruce Corp. follow.

Blue Spruce Corp. Comparative Balance Sheets December 31
Assets		2017			2016
Cash		$ 101,000			$ 60,500
Accounts receivable		109,750			47,500
Inventory		140,625			128,563
Prepaid expenses		35,500			32,500
Long-term investments		172,500			136,250
Plant assets		356,250			303,125
Accumulated depreciation		(62,500	)		(65,000	)
Total		$853,125			$643,438
Liabilities and Stockholders Equity
Accounts payable		$ 127,500			$ 84,125
Accrued expenses payable		20,625			26,250
Bonds payable		137,500			182,500
Common stock		275,000			218,750
Retained earnings		292,500			131,813
Total		$853,125			$643,438

Blue Spruce Corp. Income Statement Data For the Year Ended December 31, 2017
Sales revenue				$485,575
Less:
Cost of goods sold		$169,325
Operating expenses, excluding depreciation		15,513
Depreciation expense		58,125
Income tax expense		34,100
Interest expense		5,913
Loss on disposal of plant assets		9,375		292,351
Net income				$ 193,224

Additional information:

1.		New plant assets costing $125,000 were purchased for cash during the year.
2.		Old plant assets having an original cost of $71,875 and accumulated depreciation of $60,625 were sold for $1,875 cash.
3.		Bonds payable matured and were paid off at face value for cash.
4.		A cash dividend of $32,537 was declared and paid during the year.

Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a -sign e.g.-15,000 in parenthesis e.g.(15,000)) Blue Spruce Corp Statement of Cash Flows For the Year Ended December 31, 2017 Cash Flows from Operating Activities Net Income 193224 Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense 58125 Loss on Disposal of Plant Assets 9375 Increase in Prepaid Expenses (35500) Increase in Inventory 140625 Decrease in Prepaid Expenses Increase in Accounts Payable Increase in Prepaid Expenses