Exercise 5-14

The comparative balance sheets of Sage Inc. at the beginning and the end of the year 2017 are as follows.

SAGE INC. BALANCE SHEETS
		Dec. 31, 2017		Jan. 1, 2017		Inc./Dec.
Assets
Cash		$ 47,620		$ 15,620		$32,000	Inc.
Accounts receivable		94,790		89,170		5,620	Inc.
Equipment		42,790		23,170		19,620	Inc.
Less: Accumulated Depreciation-Equipment		20,790		11,000		9,790	Inc.
Total		$164,410		$116,960
Liabilities and Stockholders Equity
Accounts payable		$ 23,790		$ 16,170		7,620	Inc.
Common stock		102,620		81,170		21,450	Inc.
Retained earnings		38,000		19,620		18,380	Inc.
Total		$164,410		$116,960

Net income of $47,790 was reported, and dividends of $29,410 were paid in 2017. New equipment was purchased and none was sold. Prepare a statement of cash flows for the year 2017. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)