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Parker Products provided the following balance sheet and income statement information: Balance Sheet at December 31 Cash Year 2 $ 1,400 Year 1 $
Parker Products provided the following balance sheet and income statement information: Balance Sheet at December 31 Cash Year 2 $ 1,400 Year 1 $ 7,200 13,500 12,000 Accounts receivable Inventory Prepaid insurance Equipment, net Total assets 11,800 4,500 1,200 900 36,500 $64,400 38,000 $62,600 Accounts payable $ 13,100 $ 12,600 Wages payable 7,400 8,000 Long-term note payable 17,000 26,700 Common stock 16,000 8,000 Retained earnings 10,900 7,300 Total liabilities & shareholders' equity $64,400 $62,600 Income Statement for Year 2 Sales $ 121,800 Cost of goods sold 49,500 Depreciation expense 6,800 Other operating expenses 27,800 Interest expense 2,100 Income taxes expense 8,000 Net income $ 27,600 Using the financial data for Parker Products, prepare the statement of cash flow using the indirect method for Year 2.
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