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. FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales Cost of goods sold $ 582,500 285,000 Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) Loss on sale of equipment Income before taxes. Income taxes expense Net income 297,500 $ 132,400 20,750 153,150 (5,125) 139,225 24,250 $ 114,975 FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year $ 49,800 65,810 275,656 $ 73,500 50,625 251,800 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable 1,250 1,875 392,516 377,800 157,500 108,000 (36,625) (46,000) $ 513,391 $ 439,800 Long-term notes payable Total liabilities Equity Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity Additional Information on Current Year Transactions $ 53,141 $ 114,675 75,000 54,750 128,141 169,425 162,750 150,250 37,500 0 185,000 120,125 $ 513,391 $ 439,800 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. 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. f. Declared and paid cash dividends of $50,100. Required: Prepare a complete statement of cash flows using a spreadsheet using the indirect method. (Enter all amounts as positive values.) Balance sheet-debit Cash Accounts receivable Inventory Prepaid expenses Equipment Balance sheet-credit Accumulated depreciation-Equipment Accounts payable FORTEN COMPANY Spreadsheet for Statement of Cash Flows For Current Year Ended December 31 Analysis of Changes December 31, Prior December 31, Year Debit Credit Current Year Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par value, common stock Retained earnings Statement of cash flows Operating activities Cash paid for inventory Investing activities Financing activities Non cash investing and financing activities Purchase of equipment financed by long-term notes payable $ 73,500 49,800 50,625 $ 15,185 65,810 251,800 23,856 275,656 1,875 $ 625 1,250 108,000 49,500 58,500 $ 485,800 $ 451,016 $ 46,000 114,675 54,750 150,250 0 120,125 $ 485,800 $ 39,041 $ 50,125 $ 0