P23-2 (SCFIndirect Method) The comparative balance sheets for Hinckley Corporation show the following information.
				December 31
				2014	2013
	Cash			$33,500	$13,000
	Accounts receivable			12,250	10,000
	Inventory			12,000	9,000
	Investments			0	3,000
	Building			0	29,750
	Equipment			45,000	20,000
	Patent			5,000	6,250
	Totals			$107,750	$91,000
	Allowance for doubtful accounts			$3,000	$4,500
	Accumulated depreciation on equipment			2,000	4,500
	Accumulated depreciation on building			0	6,000
	Accounts payable			5,000	3,000
	Dividends payable			0	5,000
	Notes payable, short-term (nontrade)			3,000	4,000
	Long-term notes payable			31,000	25,000
	Common stock			43,000	33,000
	Retained earnings			20,750	6,000
	Totals			$107,750	$91,000
Additional data related to 2014 are as follows:
1. Equipment that had cost		$11,000	and was	40%	depreciated at time of
disposal was sold for		$2,500
2.	$10,000	of the long-term note payable was paid by issuing common stock.
3. Cash dividends paid were		$5,000
4. On January 1, 2014, the building was completely destroyed by a flood. Insurance proceeds on the
building were		$30,000	(net of	$2,000	taxes).
5. Investments (available-for-sale) were sold at				$1,700	above their cost. The
company has made similar sales and investments in the past.
6. Cash of was paid for the acquisition of equipment.
7. A long-term note for		$16,000	was issued for the acquisition of equipment.
8. Interest of	$2,000	and income taxes of		$6,500	were paid in cash.
Instructions:
Prepare a statement of cash flows using the indirect method. Flood damage is unusual and infrequent in that part of the country.