Dd Cashi Accounts Receivable Equipment Accumulated Depreciation-Equipment Total Assets Accounts Payable Salaries and Wages Payable Notes Payable (long-term) $ 6,420 960 6,160 (1,620) $ 11,920 $ 440 440 1,700 $ 4,240 1,870 5,600 (1,310) $ 10,400 $ 1,000 750 500 Common Stock 5,600 5,600 3,740 2,550 Total Liabilities and Stockholders' Equity $ 11,920 $ 10,400 Retained Earnings Income Statement Service Revenue. Salaries and Wages Expense Depreciation Expense Income Tax Expense Net Income Additional Data: a. Bought new hockey equipment for cash, $560. b. Borrowed $1,200 cash from the bank during the year. $ 38,700 36,200 310 1,000 $ 1,190 c. Accounts Payable includes only purchases of services made on credit for operating purposes. Because there are no liability accounts relating to income tax, assume that this expense was fully paid in cash. Required: 1. Prepare the statement of cash flows for the current year ended December 31 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) HEADS UP COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities: Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: Changes in Current Assets and Current Liabilities Cash Flows from Investing Activities: 0