PA12-3 Preparing a statement of Cash Flows (indirect Method) LO 12-2, LO 12-3, LO 12-4. Lo 12-5) xs Supply Company is developing its annual financial statements at December 31. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized: Current Year Balance Sheet at December 31 35,200 30,250 36,000 28,500 38,500 128,500 105,000 Inventory Equipment Accumulated Depreciation-Equipment 31,000) (25.500) $210,700 $176,750 Accounts Payable 37,000 27,500 Salaries and Wages Payable 42,500 Note Payable (long-term) 91,600 73,100 38,200 25,500 Retained Earnings $210,700 $176,750 Income Statement $125,000 Sales Revenue Cost of Goods Sold Other Expenses 12,700 Net Income Additional Data: a. Bought equipment for cash, $23.500. b. Paid $6,500 on the long-term note payable. c. Issued new shares of stock for $18,500 cash. d. No dividends were declared or paid $20.500, taxes, s6.500, utilities, e. expenses included depreciation, s5,500; Salaries and wages, $7,300 Payable credit. Because there are no liability accounts relating includes only inventory purchases made on in cash to or other expenses, assume expenses were Muly paid