Condensed financial data of Kingbird Company for 2017 and 2016 are presented below KINGBIRD COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2017 AND 2016 2016 $1,790 $1,150 1,330 1,890 1,700 2017 Cash Receivables Inventory Plant assets Accumulated depreciation Long-term investments (held-to-maturity) 1,780 1,620 1,930 (1,200) 1,310 (1,180 ) 1,420 $7,230 $6,310 Accounts payable Accrued liabilities Bonds payable Common stock Retained earnings $1,210 210 1,370 1,860 2,580 $920 240 1,530 1,670 1,950 $7,230 $6,310 KINGBIRD COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2017 $6,970 4,680 2,290 940 1,350 Sales revenue Cost of goods sold Gross margin Selling and administrative expenses Income from operations Other revenues and gains Gain on sale of investments Income before tax Income tax expense Net income Cash dividends Income retained in business 80 1,430 540 890 260 $630 Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2017. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either KINGBIRD COMPANY Statement of Cash Flows For the Year Ended December 31, 2017 (Indirect Method) Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Cash Flows from Operating Activities Depreciation Expense Gain on Sale of Investments Increase in Accounts Receivable Decrease in Inventory Increase in Accounts Payable Decrease in Accrued Liabilities Net Cash Provided by Operating Activities Cash Flows from Investing Activities Sale of Investments Purchase of Plant Assets Net Cash Provided by Investing Activities Cash Flows from Financing Activities Redemption of Bonds Payable Redemption of Common stock Payment of Cash Dividends Net Cash Provided by Financing Activities Net Increase in Cash Cash at Beginning of Period Cash at End of Period Noncash Investing and Financing Activities Issuance of Common Stock for Plant Assets