MONTGOMERY INCORPORATED
Comparative Balance Sheets
At December 31	Current Year	Prior Year
Assets
Cash	$ 53,800	$ 53,900
Accounts receivable, net	13,400	16,400
Inventory	120,100	94,800
Total current assets	187,300	165,100
Equipment	66,500	56,100
Accumulated depreciationEquipment	(30,100)	(20,700)
Total assets	$ 223,700	$ 200,500
Liabilities and Equity
Accounts payable	$ 32,000	$ 34,400
Salaries payable	600	800
Total current liabilities	32,600	35,200
Equity
Common stock, no par value	159,400	147,900
Retained earnings	31,700	17,400
Total liabilities and equity	$ 223,700	$ 200,500

MONTGOMERY INCORPORATED
Income Statement
For Current Year Ended December 31
Sales	$ 60,900
Cost of goods sold	(25,300)
Gross profit	35,600
Salaries expense	7,400
Depreciation expense	9,400
Income before taxes	18,800
Income tax expense	4,500
Net income	$ 14,300

Additional Information on Current-Year Transactions

1. No dividends are declared or paid.
2. Issued additional stock for $11,500 cash.
3. Purchased equipment for cash; no equipment was sold.

1. Use the above information to prepare a statement of cash flows for the current year using the indirect method.

Note: Amounts to be deducted should be indicated by a minus sign.