Golden Corp.'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, (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.

GOLDEN CORPORATION Comparative Balance Sheets December 31
	Current Year						Prior Year
Assets
Cash		$	170,000					$	113,600
Accounts receivable			92,000						77,000
Inventory			610,000						532,000
Total current assets			872,000						722,600
Equipment			351,100						305,000
Accum. depreciationEquipment			(161,000	)					(107,000	)
Total assets		$	1,062,100					$	920,600
Liabilities and Equity
Accounts payable		$	99,000					$	77,000
Income taxes payable			34,000						28,100
Total current liabilities			133,000						105,100
Equity
Common stock, $2 par value			599,200						574,000
Paid-in capital in excess of par value, common stock			206,800						169,000
Retained earnings			123,100						72,500
Total liabilities and equity		$	1,062,100					$	920,600

GOLDEN CORPORATION Income Statement For Current Year Ended December 31
Sales				$	1,822,000
Cost of goods sold					1,092,000
Gross profit					730,000
Operating expenses
Depreciation expense	$	54,000
Other expenses		500,000			554,000
Income before taxes					176,000
Income taxes expense					30,400
Net income				$	145,600

Additional Information on Current Year Transactions

1. Purchased equipment for $46,100 cash.
2. Issued 12,600 shares of common stock for $5 cash per share.
3. Declared and paid $95,000 in cash dividends.

Problem 12-6A Indirect: Statement of cash flows LO P2, P3

Required: 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.)

GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Net income $ 145,600 Adjustments to reconcile net income to net cash provided by operations Depreciation expense $ 145,600 Cash flows from investing activities Cash flows from financing activities: $ 145,600 Net increase (decrease) in cash Cash balance at December 31, prior year Cash balance at December 31, current year $ 145,600