Dec. 31, 2008 Dec. 31, 2007 Assets Cash Accounts receivable (net) Inventories Investments Land Equipment Accumulated depreciation equipment $ 391,100 142,400 401,100 0 205,000 440,700 (104,000) $1,476,300 $ 366,200 130,600 385,700 150,000 0 345,700 (92,500) $1,285,700 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) Accrued expenses (operating expenses) Dividends payable .. Common stock, $10 par Paid-in capital in excess of par-common stock Retained earnings. $ 267,800 26,400 15,000 80,000 300,000 787,100 $1,476,300 $ 253,100 32,900 12,000 60,000 175,000 752,700 $1,285,700 Page 734 FIN. Statement of Cash Flows The following additional information was taken from the records: a. The investments were sold for $175,000 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $94,400 credit to Retained Earnings for net income. f. There was a $60,000 debit to Retained Earnings for cash dividends declared. Instructions Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities