December 31 2020 2019 Cash $33,600 $13,100 Accounts receivable 12,100 10,100 Inventory 11,900 9,000 Available-for-sale debt investments -0- 3,100 Buildings -0- 29,800 Equipment 45,500 20,100 Patents 5,000 6,200 $108,100 $91,400 Allowance for doubtful accounts $3,100 $4,400 Accumulated depreciation-equipment 2,000 4,600 -0- 6,100 Accumulated depreciation-building Accounts payable 5,000 3,100 -0- 4,900 Dividends payable Notes payable, short-term (nontrade) 3,100 4,100 Long-term notes payable 31,000 25,000 Common stock 43,000 33,000 Retained earnings 20,900 6,200 $108,100 $91,400 Additional data related to 2020 are as follows. 1. 2. Equipment that had cost $10,800 and was 40% depreciated at time of disposal was sold for $2,600. $10,000 of the long-term note payable was paid by issuing common stock. Cash dividends paid were $4,900. 3. 4. On January 1, 2020, the building was completely destroyed by a flood. Insurance proceeds on the building were $29,900 (net of $2,000 taxes). 5. Debt investments (available-for-sale) were sold at $1,700 above their cost. The company has made similar sales and investments in the past. 6. 7. Cash was paid for the acquisition of equipment. A long-term note for $16,000 was issued for the acquisition of equipment. Interest of $2,000 and income taxes of $6,600 were paid in cash. 8. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-signe.g.-15,000 or in parenthesis e.g. (15,000).) NASH CORPORATION Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income TA 14700 Adjustments to reconcile net income to Depreciation Expense > $ $ 1720 Loss on Sale of Equipment 3880 Patent Amortization > 1200 Gain from Flood Damage Cash Flows from Investing Activities Proceeds from Flood Damage to Building ( $ Supplemental disclosures of cash flow information: $ +A $