Pearl Inc., a greeting card company, had the following statements prepared as of December 31, 2020. Accounts payable Income taxes payable Salaries and wages payable \begin{tabular}{rr} $46,100 & $40,100 \\ 3,900 & 5,900 \\ 8,000 & 4,000 \\ 8,100 & 10,000 \\ 60,400 & 69,300 \\ 100,000 & 100.000 \\ 30.000 & 30,000 \\ \hline 54,300 & 38.000 \\ \hline$310,800 & $297,300 \\ \hline \end{tabular} PEARL INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $332,700 Cost of goods sold Gross profit 156,700176,000 Operating expenses Operating income 37,400119,300 Interest expense $11,500 GainonsaleofequipmentIncomebeforetax2,10028,0009,400 Income tax expense Net income 5.600$22.400 Additional information: 1. Dividends in the amount of $6,100 were declared and paid during 2020 . 2. Depreciation expense and amortization expense are included in operating expenses. 3. No unrealized gains or losses have occurred on the investments during the year. 4. Equipment that had a cost of $19,800 and was 70% depreciated was sold during 2020 . Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with eitherd parenthesis e.8. (15,000).) Adjustments to reconcile net income to Decrease in Income Taxes Payable Increase in Salaries and Wages Payable \begin{tabular}{|l|l|l|l|} \hline \hline & 4200 \\ \hline \end{tabular} Cash Flows from Investing Activities Purchase of Equipment Loss on Sale of Eouidment Sale of Available-for-Sale investments Cash Flows from Financing Activities Principal Payment on Short-termLoan y Borrowing on Lone-Term Loan Dividend Payments Net Cash Used by Financing Activities Net lincrease in Cash Cash at Beginning of Period Cash at End of Period