Prepare a statement of cash flows by the indirect method based on the following information Income statement data net sales 62500 Cost of goods sold 37500 Gross profit 25000 Administrative and operating expenses 14000 Income from operating activities 11,000 Machine sale gains 1250 Subtract interest expense 1750 net income before tax 10500 Income tax subtracts 2625 net income after tax 7875

comparative balance sheet Change 2018 2019 Statement Current assets 6000 11000 cash 9000 11000 accounts receivable 17500 15000 goods 250 750 interest paid in advance 32750 37750 Total current assets 12500 6500 investments of the affiliated company 12500 20000 fixed assets 3500 5000 Compound depreciation 9000 15000 net book value of machinery 54250 59250 total assets Liabilities and Equity current liabilities 18750 19250 Accounts Payable 4000 3000 Income tax payable 22750 22250 TOTAL LIABILITIES non-current liabilities 6500 3000 bank loan Property rights 20000 25000 Ordinary Share Capital 5000 9000 Retained earnings 25000 34000 Total Equity 54250 59250 TOTAL LIABILITIES AND EQUITY

The following additional information - There are machines with a historical cost of 3750 and a book value of 1750 that were sold during the year for 3000 - Among the fixed assets, new machines were purchased during the year 2019, with a maximum of 11250, of which 5250 were paid in cash, and the rest was paid through the companys assignment of part of its investments in the affiliated company. Depreciation expense for the current year amounted to 3500 The value of cash dividends to shareholders amounted to 3875 Required Preparing the cash flow statement by the indirect method