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. VIRTUAL GAMING SYSTEMS Income Statement For the year ended December 31, 2821 Net sales $2,480,eee Gain on sale of land 4,eee Total revenues 2,484, eee Expenses Cost of goods sold Operating expenses Depreciation expense Interest expense $1,590,00e 603, eee 21,eee 22,eee Income tax expense 68,e00 Total expenses 2,304,eee Net income 180,e0e VIRTUAL GAMING SYSTENS Balance Sheets December 31 2021 2820 Assets Current assets: $ 127,648 Cash 183,520 Accounts receivable 73,200 88,00e Inventory Prepaid rent 142,eee 133,eee 5,160 3, 28 Long-term assets Investments 10, 183,0e0 Land 289,eee 258,eee Equipment Accumulated depreciation 226, eee 288, eee (125,000) (184,8ee) $ 815,800 Total assets 895,eee Liabilities and Stockholders Equity Current liabilities: Accounts payable Interest payable Income tax payable 29,00e 86,eee 3,80e 2,80e 27,200 30,eee Long-term liabilities: Notes payable stockholders' equity: 255, e0e 237,8ee Common stock 328,eee 280,eee Retained earnings 252,eee 18,eee Total liabilities and stockholders equity 895,000 815,8e8 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 activities: 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 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