GolfGear & More, Inc., is a regional and online golf equipment retailer. The company reported the following for the current year:

Purchased a long-term investment for cash, $16,200.

Paid cash dividend, $12,200.

Sold equipment for $7,000 cash (cost, $23,000, accumulated depreciation, $16,000).

Issued shares of no-par stock, 400 shares at $12 per share cash.

Net income was $21,200.

Depreciation expense was $3,200.

Its comparative balance sheet is presented below.

	Balances 12/31/Current Year			Balances 12/31/Prior Year
Cash		18,600			21,300
Accounts receivable		24,000			24,000
Merchandise inventory		76,200			69,000
Investments		16,200			0
Equipment		92,500			115,500
Accumulated depreciation		(19,400	)		(32,200	)
Total		208,100			197,600
Accounts payable	$	14,200		$	18,000
Wages payable		1,700			2,900
Income taxes payable		4,900			3,200
Notes payable		56,000			56,000
Common stock and additional paid-in capital		104,800			100,000
Retained earnings		26,500			17,500
Total	$	208,100		$	197,600

Required:

1. Complete a T-account worksheet.

2. Based on the T-account worksheet, prepare the statement of cash flows for the current year in proper format. (List cash outflows as negative amounts.)