Denver, Inc. has prepared the following comparative balance sheets for 20x0 and 20x1:

20x1 20x0

Cash75,00051,000

A/R48,00039,000

Inventory54,00060,000

Prepaid Expense6,0009,000

Building440,000350,000

Accum. Depr. (145,000)(125,000)

Copyright51,00058,000

A/P51,00056,000

Accrued Liabilities18,00014,000

Mortgage Payable-150,000

Preferred Stock175,000-

APIC - Pref. 30,000-

Common Stock200,000200,000

R/E 55,000 22,000

1)The R/E account has been charged for dividends of $54,000 and credited for the net income for the year.

2)The income statement for 20x1 is as follows:

Sales660,000

Cost of sales363,000

Gross profit297,000

Operating expenses210,000

Net income87,000

From the information above, make a statement of cash flows for the year ended December 31, 20x1 (use the indirect method for operating activities).Make sure to record all activities.