Current Attempt in Progress Condensed financial data of Pharoah Company follow. Pharoah Company Comparative Balance Sheets December 31 Assets 2020 2019 Cash $109,700 $47,900 Accounts receivable: 92,200 32,700 Inventory 113,000 101,200 Prepaid expenses 29,900 25,900 Investments 139,800 113,500 Equipment 265,400 242,200 Accumulated depreciation-equipment (47,200) (53,000) Total $702,800 $510,400 Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable $111,800 $67,300 16.100 17.100 Bonds payable 118,700 149,600 Common stock 219,400 174,500 Retained earnings 236,800 101,900 Total $702,800 $510,400 Pharoah Company Income Statement For the Year Ended December 31, 2020 Sales revenue $392,800 Less: Cost of goods sold $134,900 Operating expenses, excluding depreciation 12.400 Depreciation expense 31,100 Income tax expense 26,900 Interest expense 4,100 Loss on disposal of plant assets 7,500 216,900 Net income $175,900 1. New equipment costing $80,500 was purchased for cash during the year. 2. Old equipment having an original cost of $57.300 was sold for $12,900 cash. 3. Bonds matured and were paid off at face value for cash. 4. A cash dividend of $41,000 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 eg-15,000 or in parenthesis e.g. (15,000).) Pharoah Company Statement of Cash Flows Adjustments to reconcile net income to MacBook Pro