Income Statement

For the Period Ended December 31, 2019

Sales	$636,000
Cost of goods sold	240,000
Gross Profit	396,000
Office expenses	242,000
Depreciation Expense	9,000
Income from Operations	145,000
Interest expense	0
Income before income tax	145,000
Income tax expense	120,000
Net Income	$25,000

Comparative Balance Sheets

December 31, 20XX

	2019	2018
Assets
Cash and cash equivalents	84,000	48,700
Accounts Receivable	53,600	50,000
Inventory	39,600	39,000
Prepaid expenses	5,500	15,000
Equipment	206,000	200,000
Accumulated Depreciation - Equipment	(126,700)	(117,700)
Total assets	$262,000	$235,000
Liabilities
Accounts Payable	$48,000	$49,000
Accrued Liabilities	44,000	42,000
Stockholders' Equity
Common Stock	10,000	9,000
Retained Earnings	160,000	135,000
Total Liabilities & S/H Equity	$262,000	$235,000

Additional information:

1. No equipment was sold throughout the year, so the change in accumulated depreciation is a result of depreciation expense for the year.
2. Stock was issued for cash.
3. Equipment was purchased with cash.

Required:

1. Prepare a FULL statement of cash flows for the year 2019, including the Operating, Investing and Financing sections, assuming that Ramos Company uses the INDIRECT method.