Preparation of a Statement of Cash Flows. The president of The Hardcastle Corporation

understands that a statement of cash flows is one of the required financial statements. He asks your

assistance in preparing the statement. He provides you with the following comparative balance sheets for

$2031$ and $2030,$ as well as the income statement for the year ended December $31,2031.$

THE HARDCASTLE CORPORATION

Comparative Balance Sheets

December $31,$

Assets $20312030$

Current assets:

Cash $ $5,200$ $ $4,200$

Accounts receivable $20,00028,000$

Inventory $47,00033,000$

Prepaid expenses $1,5001,000$

Total current assets $ $73,700$ $ $66,200$

Property, plant, and equipment:

Land $ $3,800$ $ $2,800$

Machinery and equipment, net $8,7008,500$

Buildings, net $42,00047,000$

Total property, plant, and equipment $ $54\mathrm{.}500$ $ $58,300$

Other assets:

Patents, net $ $1,500$ $ $1,700$

Total assets $$129,700$ $$126,200$

Liabilities and Owners$$ Equity $20312030$

Current liabilities:

Notes payable $ $4,000$ $ $5,800$

Current maturities of long$-$term debt $2,0001,900$

Accounts payable $5,5006,000$

Accrued liabilities $15,00013,000$

Total current liabilities $ $26,500$ $ $26,700$

Long$-$term debt: $ $18,000$ $ $30,000$

Stockholders$$ equity:

Common stock, no par $ $61,000$ $ $60,000$

Retained earnings $24,2009,500$

Total stockholders$$ equity $ $85,200$ $ $69,500$

Total liabilities and stockholders$$ equity $$129,700$ $$126,200$