Prepare Morganson's statement of cash flows using the indirect method. Include an schedule of non-cash investing and financing activities. 16-34A Preparing the statement of cash flows-indirect non-cash transactions method with Learning Objective2 The 2018 income statement and comparative balance sheet of Rolling Hill,Inc. follow Net Cash Prov. by Op. Act. $125,100 ROLLING HILLS, INC. Income Statement Year Ended December 31, 2018 Net Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses: $ 440,000 209,200 230,800 77,400 14,400 10,200 Salaries Expense Depreciation Expense-Plant Assets Other Operating Expenses Total Operating Expenses 102,000 128,800 Operating Income Other Income and (Expenses): 8,700 (21,100) Interest Revenue Interest Expense Total Other Income and (Expenses) (12,400) 116,400 20,000 $ 96,400 Net Income Before Income Taxes Income Tax Expense Net Income ROLLING HILLS, INC Comparative Balance Sheet December 31, 2018 and 2017 2017 2018 Assets Current Assets: s 26,900 26,500 79,800 15,700 25,400 91,500 Accounts Receivable Merchandise Inventory Long-term Assets 14,000 124,840114,650 Accumulated Depreciation-Plant Assets (18,940) (17,950) 35,100 Land Plant Assets S 274,200 $ 243,300 Total Assets Liabilities Current Liabilities: s 35,700 28,700 30,400 30,300 Accounts Payable Accrued Liabilities Long-term Liabilities: 108,000 168,700 79,000 Notes Payable 143,400 Total Liabilities Stockholders' Equity 64,500 10,100 74,600 243,300 88,900 41,900 130,800 $274,200 Common Stock, no par Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity Additionally, Rolling Hills purchased land of S21,100 by financing it 100% with long term notes payable during 2018. During the year, there were no sales of retirements of stock, and no treasury stock transactions. A plant asset was for $0. The cost and the accumulated depreciation of the disposed asset was SI.3, The plant acquisition was for cash. land, no disposed of 410 Requirements 1. Prepare the 2018 statement of cash flows, formatting operating activities by the indirecd method. How will what you learned in this problem help you evaluate an 2