Golden Corp., a merchandiser, recently completed its 2015 operations. 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, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow. GOLDEN CORPORATION Comparative Balance Sheets December 31, 2015 and 2014 2015 2014 Assets Cash $ 185,000 $ 132,000 Accounts receivable 90,000 70,000 Inventory 613,000 532,000 Total current assets Equipment Accum. depreciationEquipment 888,000 734,000 346,000 311,000 (165,000) (110,000) Total assets $1,069,000 $ 935,000 Liabilities and Equity Accounts payable Income taxes payable $ 90,000 $ 77,000 40,000 31,000 130,000 108,000 Total current liabilities Equity Common stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings 600,000 196,000 143,000 580,000 166,000 81,000 Total liabilities and equity $1,069,000 $935,000 GOLDEN CORPORATION Income Statement For Year Ended December 31, 2015 Sales $ 1,822,000 Cost of goods sold 1,092,000 730,000 Gross profit Operating expenses Depreciation expense Other expenses $55,000 500,000 555,000 Income before taxes Income taxes expense 175,000 23,000 Net income $ 152,000 Additional Information on Year 2015 Transactions a. Purchased equipment for $35,000 cash. b. Issued 10,000 shares of common stock for $5 cash per share. c. Declared and paid $90,000 in cash dividends. Required: Prepare a complete statement of cash flows; report its cash inflows and cash outflows from operating activities according to the indirect method. (Amounts to be deducted should be indicated with a minus sign.) GOLDEN CORPORATION Statement of Cash Flows For Year Ended December 31, 2015 Cash flows from operating activities Net Income Adjustments to reconcile net income to net cash provided by operations: Cash flows from investing activities: Cash flows from financing activities: Net increase (decrease) in cash Cash balance at beginning of year Cash balance at end of year