Presented below are the consolidated financial statements of Ernst, Inc., and its subsidiary, Young Company, as of December 31, 2020 and 2019:

	2020	2019
Cash	$313,000	$195,000
Accounts receivable, net	580,000	591,000
Inventories	595,000	525,000
Land	385,000	170,000
Plant and equipment	755,000	690,000
Accumulated depreciation	(199,000)	(145,000)
Goodwill	60,000	60,000
Total assets	$2,489,000	$2,086,000
Current portion of long-term debt	$150,000	$150,000
Accounts payable and accrued liabilities	639,000	506,000
Notes payable, long-term	300,000	450,000
Noncontrolling interest	179,000	161,000
Common stock ($10 par)	580,000	480,000
Additional paid-in capital	303,000	180,000
Retained earnings	338,000	195,000
Treasury stock (at cost)	0	(36,000)
Total liabilities and equity	$2,489,000	$2,086,000

Additional information:

1. On January 20, 2020, Ernst, Inc., issued 10,000 shares of its common stock for cash of $215,000.
2. On February 5, 2020, Ernst reissues all of its treasury stock for $44,000.
3. On May 15, 2020, Ernst pays a cash dividend of $58,000 on its common stock.
4. On June 20, 2020, land was purchased for cash of $215,000.
5. On August 8, 2020, equipment is purchased for $127,000.
6. On September 30, 2020, equipment is sold for $40,000. The equipment cost $62,000 and has a net book value of $34,000 on the date of the sale.
7. On December 15, 2020, Young Company paid a cash dividend of $50,000 on its common stock.
8. Net income for 2020 is as follows:

Controlling interest in consolidated net income $201,000

Young Company 110,000

1. Ernst, Inc., owns 70% of Young Company. There is no change in ownership interest in Young during 2020 and 2019. There are no intercompany transactions other than the dividend paid by Young to Ernst.

Required:

Prepare the statement of cash flows for the consolidated company using the indirect method.