eBook 04 Show Me How Print Item Statement of Cash Flows_Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 2048, is as follows: Dec. 31, 2019 Dec. 31, 2018 Assets Cash $288,610 $267,860 Accounts receivable (net) 104,550 96,200 Inventories 295,160 284,840 Investments 0 110,350 Land 151,39 0 Equipment 325,640 251,830 Accumulated depreciation-equipment (76,240) (67,910) Total assets $1,089,110 $943,170 Liabilities and Stockholders' Equity $197,130 $185,800 Accounts payable (merchandise creditors) Accrued expenses payable (operating expenses) 19,600 24,520 Dividends payable 10,890 8,490 Common stock, $10 par 58,810 46,220 Paid-in capital in excess of par-common stock 221,090 128,270 Retained earnings 581,590 549,870 Total liabilities and stockholders' equity $1,089,110 $943,170 Additional data obtained from an examination of the accounts in the ledger for 20y9 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $129,110 cash. d. The common stock was issued for cash. e. There was a $76,050 credit to Retained Earnings for net income. f. There was a $44,330 debit to Retained Earnings for cash dividends declared. Required: Check My Work 2 more Check My Work uses remaining All work saved. Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flow from operating activities: Depreciation Loss on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Il 01 Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash flow from operating activities Cash flows from (used for) investing activities: Cash received from sale of investments Cash paid for purchase of land Cash paid for purchase of equipment Net cash flow used for investing activities Cash flows from (used for) financing activities: Cash received from sale of common stock 110 DO I OUI Cash paid for dividends Net cash flow from financing activities Net increase in cash Cash balance, January 1, 2019 Cash balance, December 31, 2049 Check My Work 2 more Check My Work uses remaining