McKillop Corporation, a private corporation following ASPE, prepared the following income statement and comparative balance sheet for the year ended December 31, 2020:

MCKILLOP CORPORATION

Comparative Balance Sheet

December 31, 2020

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Assets

20202019

Cash $ 74,700$ 35,000

Accounts receivable 104,00067,000

Inventory 100,000112,000

Prepaid expenses 32,00036,000

Long-term investments 81,00066,000

Property, plant, and equipment 235,000175,000

Accumulated depreciation (65,000)(60,000)

Total $561,700$431,000

Liabilities and Shareholders' Equity

Accounts payable $93,000$75,000

Income taxes payable 29,00024,000

Bonds payable 135,000160,000

Common shares 240,00091,000

Retained earnings 64,70081,000

Total $561,700$431,000

MCKILLOP CORPORATION

Income Statement

Year Ended December 31, 2020

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Sales $500,000

Expenses

Cost of goods sold $295,000

Operating expenses 65,000

Depreciation expense 17,000

Interest expense 18,000

Loss on sale of equipment 3,000398,000

Income before income tax 102,000

Income tax expense 15,300

Profit $86,700

Additional information regarding the 2020 fiscal year:

1.New equipment costing $85,000 was purchased for cash.

2.Old equipment costing $25,000 was sold for $10,000 cash when the carrying amount (net book value) was $13,000.

3.Bonds were originally issued at face value. Bonds with a face value of $25,000 were converted into $25,000 of common shares during the year.

4.Cash dividends were declared and paid during the year.

Instructions:

What is the Cash Flow Statement for the year ended December 31, 2020 using the indirect method?