Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. Sales Cost of goods sold Gross profit PORTEN COMPANY Income Statement For Current Year Ended December 31 Operating expenses (excluding depreciation) Depreciation expense Other gains (losses). Loss on sale of equipment Income before taxes Income taxes expense Net income Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Long-term notes payable Total liabilities. Equity Common stock, $5 par value FORTEN COMPANY Comparative Balance Sheets December 31 $ 132,400 20,750 Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity $ 582,500 285,000 297,500 153,150 (5,125) 139,225 24,250 $ 114,975 Current Year Prior Year $ 49,800 65,810 275,656 1,250 392,516 157,500 (36,625) $ 513,391 d. Paid $46,125 cash to reduce the long-term notes payable. e. Issued 2,500 shares of common stock for $20 cash per share. $ 53,141 75,000 128,141 $ 73,500 50,625 251,800 1,875 377,800 108,000 (46,000) $ 439,800 $ 114,675 54,750 169,425 150,250 162,750 37,500 185,000 $ 513,391 $ 439,800 0 120, 125 Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $5,125 (details in b). b. Sold equipment costing $46,875, with accumulated depreciation of $30,125, for $11,625 cash. c. Purchased equipment costing $96,375 by paying $30,000 cash and signing a long-term notes payable for the balance. f. Declared and paid cash dividend of $50100 Required: 1. Prepare a complete statement of cash flows using the indirect method for the current year. (Amounts to be deducted should be indicated with a minus sign.)