prepare a statement of cash flows using the indirect method.

also include information of supplemental disclosures of cash flow.

The comparative balance sheets for Hinckley Corporation show the following information. Additional data related to 2020 are as follows. 1. Equipment that had cost $11,000 and was 40% depreciated at time of disposal was sold for $2,500. 2. $10,000 of the long-term note payable was paid by issuing common stock. Additional data related to 2020 are as follows. 1. Equipment that had cost $11,000 and was 40% depreciated at time of disposal was sold for $2,500. 2. $10,000 of the long-term note payable was paid by issuing common stock. 3. Cash dividends paid were $5,000. 4. On January 1,2020 , the building was completely destroyed by a flood. Insurance proceeds on the building were $30,000 (net of $2,000 taxes). 5. Debt investments (available-for-sale) were sold at $1,700 above their cost. The company has made similar sales and investments in the past. 6. Cash was paid for the acquisition of equipment. 7. Along-term note for $16,000 was issued for the acquisition of equipment. 8. Interest of $2,000 and income taxes of $6,500 were paid in cash. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either asign es. - 15,000 or in parenthesis es. (15,000). Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign eg. - 15 , 000 or in parenthesis es. (15,000)) Low onsareor Equipment Patent Amortization Increase in Accounts Receivable (Net) \begin{tabular}{|r|} \hline 3750 \\ \hline \end{tabular} Increase in Inventory Increase in Accounts Payable 2000 Net Cash Provided by Operating Activities Caxb Flows from lnvesting Activities Sale of Investments. Sale of Equipment \begin{tabular}{|r|} \hline20000 \\ \hline 2500 \\ \hline \end{tabular} Purchase of Equipment 4700 Proceeds from Flood Damase to Building Nec Cash Provided by lavesting Activities 17200 Net Cash Provided by Irvesting Activities Cash Flows from Financing Activities Payment of Short-term Note Payable Payment of Dividends Net Cash Used by Financing Activities Net Increake in Cash Cash, January 1,2020 Cash. December 31,2020 Supplemental disclosures of cash flow information: Cash Pald During the Year for Interest Cash Paid During the Year for income Taxes Cash, December 31,2020 Supplemental disclosures of cash flow information: Cash Paid During the Year for Interest Cash Paid During the Year for Income Taxes Noncash Investing and Financing Activities Purchased Equipment by Issuing Notes Payable Retired Notes Payable by Issuing Common Stock eTextbook and Media Save for Later Attempts: 1 of 3 used Submit