Great Adventures Problem AP11-1 3 The income statement, balance sheets, and additional information for Great Adventures, Inc., are provided below. 4 points Print GREAT ADVENTURES, INC. Income Statement For the year ended December 31, 2022 Net revenues : $187,480 Expenses : Cost of goods sold $39,600 Operating expenses 64,820 Depreciation expense 18,900 Interest expense 9,528 Income tax expense 15,600 Total expenses 148,448 Net income 39,032 Reference Reference GREAT ADVENTURES, INC. Balance Sheets December 31, 2022 and 2021 2022 Increase (I) or Decrease (D) 2021 $ $ 264,564 49,580 9,200 1, 120 $ 57,240 0 0 5, 380 207,324 (I) 49,580 (I) 9,200 (I) 4,260 (D) Assets Current assets: Cash Accounts receivable Inventory Other current assets Long-term assets: Land Buildings Equipment Accumulated depreciation Total assets 720,000 866,000 84,660 (27,450) $1,967,674 0 0 51,000 (8,550) $112,550 720,000 (1) 866,000 (I) 33, 660 (I) 18,900 (I) $ $ 27, 240 (1) Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Other current liabilities Notes payable (current and long-term) Stockholders' equity: Common stock Paid-in capital Retained earnings Treasury stock Total liabilities and stockholders' equity 30,480 860 15,600 27,600 743,392 $ 3,240 860 14, 220 0 32,200 1,380 (I) 27,600 (I) 711, 192 (I) 20,000 142,000 1,104,200 59,542 (156,000) $1,967,674 34,550 122,000 (I) 1,104,200 (I) 24,992 (I) (156,000) (I) $112,550 Additional Information for 2022: 1. Land of $720,000 was obtained by issuing a note payable to the seller. 2. Buildings of $866,000 and equipment $33,660 we using cash. 3. Monthly payments during the year reduced notes payable by $8,808. 4. Issued common stock for $1,220,000. 5. Purchased 12,200 shares of treasury stock for $26 per share. 6. Sold 6,200 shares of treasury stock at $27 per share. 7. Declared and paid a cash dividend of $14,040. Required: Prepare the statement of cash flows for the year ended December 31, 2022, using the indirect method. (List cash outflows and any decrease in cash as negative amounts.) GREAT ADVENTURES, INC. Statement of Cash Flows For the Year Ended December 31, 2022 Cash Flows from Operating Activities Adjustments to reconcile net income to net cash flows from operating activities: 0 Net cash flow from operating activities Cash Flows from Investing Activities Net cash flow from investing activities Cash Flows from Financing Activities Net cash flows from financing activities 0 0 Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities $ 0