Prepare a statement of cash flows using the indirect method. Wildhorse Co. Statement of Cash Flows.

Question 3 of 3 The following are the financial statements of Wildhorse Co. Wildhorse Co. Comparative Balance Sheets December 31 Assets 2020 2019 Cash $37.100 $20.100 Accounts receivable 32.900 19,500 Inventory 29,900 20,900 59,700 77,500 Equipment Accumulated depreciation-equipment Total (29.100) (23,400) $130,500 $114,600 Liabilities and Stockholders' Equity Accounts payable Income taxes payable $28,300 $17.000 7.000 8,400 Bonds payable 27,300 33.600 Common stock 17,200 14.600 Retained earnings 50.700 41.000 Total $130,500 $114,600 Wildhorse Co. Income Statement DII Prisen Home ES End EVO & 2 3 % 5 6 7 Wildhorse Co. Income Statement For the Year Ended December 31, 2020 Sales revenue $241,100 Cost of goods sold 176,400 Gross profit 64.700 Operating expenses 23,400 Income from operations 41,300 Interest expense 3,600 Income before income taxes 37,700 Income tax expense 8,600 Net income $29.100 Additional data: 1. Dividends declared and paid were $19,400. 2. During the year, equipment was sold for $9,800 cash. This equipment cost $17,800 originally and had a book value of $9,800 at the time of sale. 3. All depreciation expense, $13,700, is in the operating expenses. 4. All sales and purchases are on account. (a) Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-signes. - 15,000 or in parenthesis es. (15,000) Wildhorse Co. Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities 29100 Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense $ 13700 Increase in Accounts Receivable (11300) Increase in Inventory (176400) 11300 Increase in Accounts Payable Decrease in Income Taxes Payable (1400) 49000 78100 Net Cash Provided by Operating Activities Cash Flows from Investing Activities Cash Flows from Investing Activities Sale of Equipment 9800 Cash Flows from Financing Activities Redemption of Bonds (6300) Payment of Dividends 120100) Issuance of Common Stock 2600 Net Cash Used by Financing Activities 29100 Net Increase in Cash 17000 Cash at Beginning of Period 20100 Cash at End of Period 37100 e Textbook and Media Save for Later Attempts: 10 of 15 used Submit