Kingbird Company, a major retailer of bicycles and accessories, operates several stores and is a publicly traded company. The comparative balance sheet and income statement for Kingbird as of May 31, 2017, are as follows. The company is preparing its statement of cash flows.

KINGBIRD COMPANY COMPARATIVE BALANCE SHEET AS OF MAY 31
		2017		2016
Current assets
Cash		$28,100		$20,000
Accounts receivable		75,000		58,300
Inventory		220,600		247,900
Prepaid expenses		9,100		7,000
Total current assets		332,800		333,200
Plant assets
Plant assets		601,900		506,700
Less: Accumulated depreciationplant assets		150,600		124,800
Net plant assets		451,300		381,900
Total assets		$784,100		$715,100
Current liabilities
Accounts payable		$123,400		$113,800
Salaries and wages payable		47,600		71,900
Interest payable		26,900		25,100
Total current liabilities		197,900		210,800
Long-term debt
Bonds payable		70,000		100,000
Total liabilities		267,900		310,800
Stockholders equity
Common stock, $10 par		370,000		280,000
Retained earnings		146,200		124,300
Total stockholders equity		516,200		404,300
Total liabilities and stockholders equity		$784,100		$715,100

KINGBIRD COMPANY INCOME STATEMENT FOR THE YEAR ENDED MAY 31, 2017
Sales revenue		$1,253,000
Cost of goods sold		717,300
Gross profit		535,700
Expenses
Salaries and wages expense		252,500
Interest expense		74,600
Depreciation expense		25,800
Other expenses		8,100
Total expenses		361,000
Operating income		174,700
Income tax expense		43,000
Net income		$131,700

The following is additional information concerning Kingbirds transactions during the year ended May 31, 2017.

1.		All sales during the year were made on account.
2.		All merchandise was purchased on account, comprising the total accounts payable account.
3.		Plant assets costing $95,200 were purchased by paying $25,200 in cash and issuing 7,000 shares of stock.
4.		The other expenses are related to prepaid items.
5.		All income taxes incurred during the year were paid during the year.
6.		In order to supplement its cash, Kingbird issued 2,000 shares of common stock at par value.
7.		Cash dividends of $109,800 were declared and paid at the end of the fiscal year.

Prepare a statement of cash flows for Kingbird Company for the year ended May 31, 2017, using the direct method. (A reconciliation of net income to net cash provided is not required.)