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4. The following comparative balance sheets and income statement are available for MEMPHIS Co. a. Prepare statement of cash flows for 2019 using the indirect method b. Analyze the statement of cash flow. MEMPHIS CORPORATION Income Statement For the year ended December 31, 2019 Sales Cost of goods sold Loss on sale of equipment Depreciation expense Other operating expenses Income tax expenses Net income 179,4000 108,8000 3,500 53,500 500,000 22.000 127,000 MEMPHIS CORPORATION Balance Sheet December 31, 2019 Assets 2019 ($) 2018 (5) Cash 165,000 137,000 Account receivable 82.000 74.000 Inventories 620,000 525,000 Plant and Equipment 345,000 240,000 Accumulated depreciation equipment 159,000 102,000 Total Assets 1,053,000 874,000 Liabilities: Account payable 160.000 96.000 Salaries payable 22,000 19,000 Total liabilities 182,000 115,000 Equity Capital Stock 588,000 560,000 Additional paid in capital 201,000 159.000 Retained earning 82.000 40.000 Total equity 871.000 759,000 Total liability & Shareholder's equity 1.053.000 874,000