Crane Inc., a greeting card company, had the following statements prepared as of December 31, 2017.

CRANE INC.

COMPARATIVE BALANCE SHEET

AS OF DECEMBER 31, 2017 AND 2016

12/31/17

12/31/16

Cash$6,000

$6,900

Accounts receivable62,400

50,800

Short-term debt investments (available-for-sale)35,100

18,100

Inventory40,100

60,400

Prepaid rent5,100

4,000

Equipment152,400

131,000

Accumulated depreciationequipment(34,700

)(24,800

)Copyrights45,500

49,900

Total assets$311,900

$296,300

Accounts payable$45,900

$39,900

Income taxes payable4,000

6,000

Salaries and wages payable8,100

4,000

Short-term loans payable8,100

10,000

Long-term loans payable59,500

68,700

Common stock, $10 par100,000

100,000

Contributed capital, common stock30,000

30,000

Retained earnings56,300

37,700

Total liabilities & stockholders' equity$311,900

$296,300

CRANE INC.

INCOME STATEMENT

FOR THE YEAR ENDING DECEMBER 31, 2017

Sales revenue$337,125

Cost of goods sold176,500

Gross profit160,625

Operating expenses120,600

Operating income40,025

Interest expense$11,400

Gain on sale of equipment2,000

9,400

Income before tax30,625

Income tax expense6,125

Net income$24,500

Additional information:

1.Dividends in the amount of $5,900were declared and paid during 2017.2.Depreciation expense and amortization expense are included in operating expenses.3.No unrealized gains or losses have occurred on the investments during the year.4.Equipment that had a cost of $20,000and was 70% depreciated was sold during 2017.

Prepare a statement of cash flows using the indirect method.(Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)