Problem 11-4B Prepare a statement of cash flows-Indirect method (LO11-2, 11-3, 11-4, 11-5) The income statement balance sheets, and additional information for Virtual Gaming Systems are provided. points eBook $2,530,000 3,500 2,533, 5ee VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2021 Net sales Gain on sale of land Total revenues Expenses: Cost of goods sold $1,615, een Operating expenses 608, eee Depreciation expense 26,90 Interest expense 27,98 Income tax expense 73, eee Total expenses Net income Print 2,349,00 $ 184,500 References VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2821 $ 265, 128 71,700 149, see 4,180 $206,940 87. eee 138, een 6,368 188, eee 211,500 236, egy (132,500) $ 993,588 lee, eee 263.ee 213, ece 185. SA See Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments Land Equipment Accumulated depreciation Total assets LITTLE Liabilities and Stockholders Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity! Common stock Retained earnings Total liabilities and stockholders' equity 91, eee 31.588 4.300 22.208 Bee 25,500 251, eee 228, eee 383, eee 391 500 $ 993,500 33eeee 23e eee $ 98. Additional Information for 2021: 1. Purchase additional investment in stocks for $88,000. 2. Sell land costing $51.500 for $55.000, resulting in a $3.500 gain on sale of land. 3. Purchase $23,000 in equipment by issuing a $23.000 long-term note payable to the seller. No cash is exchanged in the transaction. 4. Declare and pay a cash dividend of $113,000. 5. Issue common stock for $53.000. Pequired ntion in an accomnanying note. (Lls Additional Information for 2021: 1. Purchase additional investment in stocks for $88,000. 2 Sell land costing $51,500 for $55.000, resulting in a $3,500 gain on sale of land. 3. Purchase $23.000 in equipment by issuing a $23,000 long-term note payable to the seller. No cash is exchanged in the transaction 4. Declare and pay a cash dividend of $113,000. 5. Issue common stock for $53.000. Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (Llst cash outflows and any decrease in cash as negative amounts.) VIRTUAL GAMING SYSTEMS Statement of Cash Flows For the Year Ended December 31, 2021 Cash Flows from Operating Activities Adjustments to reconcile net income to net cash flows from operating Net cash flows from operating activities Cash Flows from Investing Activities Net cash flows from investing activities Cash Flows from Financing Activities Net cash flows from financing activities Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities