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QUESTION 10 Box, Inc. has prepared the following comparative balance sheets for 2018 and 2019: 2019 2018 Cash 333,000 $ 218,000 Accounts receivable, net 105,000 117,000 Inventory 147,000 180,000 Prepaid expenses 18,000 17,000 Income tax refund receivable 6,000 8,000 Plant assets 1,095,000 1,050,000 Accumulated depreciation (402,000) (375,000) Trademark 150,000 174,000 $ 1,452,000 $ 1,389,000 157,000 60,000 120,000 168,000 42,000 450,000 63,000 Accounts payable Accrued liabilities Note payable Mortgage payable Deferred income taxes Preferred stock Additional paid-in capital- preferred Common stock Retained earnings 56,000 180,000 120,000 500,000 259,000 1,452,000 500,000 166,000 1,389,000 $ $ A total of $200,000 of new plants assets were purchased during 2019. Of this total $140,000 was financed with long-term debt and the remainder was paid in cash. A total of $20,000 of principal (on the $140,000 note payable from 1) was paid during 2019. One plant asset was sold $22,000 and a loss of $8,000 was properly recognized. The mortgage was fully paid in cash during 2019. No additional costs related to trademarks were capitalized during 2019. Interest expense totaling 52,000 was included in operating expenses. The income statement for 2019 is as follows: Sales revenue $ 1,980,000 Cost of sales 1,089,000 Gross profit 891,000 Operating expenses 574,000 Operating income before taxes 317,000 Loss on sale of equipment 8,000 Income before taxes 309,000 Income taxes 77,250 Net income $ 231,750 Prepared a statement of cash flows (indirect method), including appropriate disclosures, for the year ended December 31, 2019