Indigo Inc., a greeting card company, had the following statements prepared as of December 31, 2020. Cash INDIGO INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 $5,900 Accounts receivable 61,400 Short-term debt investments (available-for-sale) 35,000 Inventory 40,000 Prepaid rent 5,000 Equipment 155,200 Accumulated depreciation-equipment (35,000) Copyrights 45,600 Total assets $313,100 12/31/19 $6,900 50,800 17,800 59,400 3,900 129,000 (25,000) 49,900 $292,700 Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity $46,300 3,900 7,900 8,000 60,100 100,000 30,000 56,900 $313,100 $39,800 6,100 3,900 10,100 68,400 100,000 30,000 34,400 $292,700 INDIGO INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $338,600 Cost of goods sold 174,500 Gross profit 164,100 Operating expenses 119,100 Operating income 45,000 Interest expense $11,400 Gain on sale of equipment 1,900 9,500 Income before tax 35,500 Income tax expense 7,100 Net income $28,400 Additional information: 1. 2. 3. 4. Dividends in the amount of $5,900 were declared and paid during 2020. Depreciation expense and amortization expense are included in operating expenses. No unrealized gains or losses have occurred on the investments during the year. Equipment that had a cost of $20,100 and was 70% depreciated was sold during 2020. Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a-sign e.g. -15,000 or in parenthesis e.g. (15,000).) INDIGO INC. Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities $ 28400 $ $