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Novak Corp.reported the following information for 2022. Novak Corp. Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Prepaid expenses Land Buildings Accumulated depreciation-buildings

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Novak Corp.reported the following information for 2022. Novak Corp. Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Prepaid expenses Land Buildings Accumulated depreciation-buildings Equipment Accumulated depreciation-equipment Totals Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Bonds payable Common stock ($1 par) Retained earnings Totals 2022 $188,800 198,400 140,800 19,200 176,000 640,000 (67,200) 585,600 (89,600) $1,792,000 2021 $115,200 70,400 -O- 12,800 224,000 640,000 (44,800) 217,600 (32,000) $1,203,200 Change Increase/Decrease $73,600 Increase 128,000 Increase 140,800 Increase 6,400 Increase 48,000 Decrease -0- 22.400 Increase 368,000 Increase 57,600 Increase $137,600 0 320,000 736,000 598,400 $1,792,000 $128,000 32,000 480,000 192,000 371,200 $1,203,200 $9,600 Increase 32,000 Decrease 160,000 Decrease 544,000 Increase 227.200 Increase Novak Corp. Income Statement For the Year Ended December 31, 2022 Sales revenue $3,011,200 Cost of goods sold $1,520,000 Operating expenses 739.200 Interest expense 38,400 Loss on disposal of equipment 6,400 2,304,000 Income before income taxes 707,200 Income tax expense 208,000 Net income $499.200 2. Additional information: 1. Operating expenses include depreciation expense of $128,000. Land was sold at its book value for cash. 3. Cash dividends of $272,000 were declared and paid in 2022 Equipment with a cost of $531.200 was purchased for cash. Equipment with a cost of $163,200 and a book value of $115,200 was sold for $108,800 cash. Bonds of $160,000 were redeemed at their face value for cash. Common stock (51 par) of $544,000 was issued for cash. 4. 5. 6. Use this information to prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign es. -15,000 or in parenthesis es (15,000).) Novak Corp. Statement of Cash Flows-Indirect Method $ Adjustments to reconcile net income to $ > >

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