Problem 23-01

The following are Shamrock Corp.s comparative balance sheet accounts at December 31, 2020 and 2019, with a column showing the increase (decrease) from 2019 to 2020.

COMPARATIVE BALANCE SHEETS
		2020			2019			Increase (Decrease)
Cash		$811,100			$702,700			$108,400
Accounts receivable		1,139,100			1,176,000			(36,900	)
Inventory		1,847,000			1,704,500			142,500
Property, plant, and equipment		3,317,700			2,945,400			372,300
Accumulated depreciation		(1,158,000	)		(1,048,400	)		(109,600	)
Investment in Myers Co.		312,200			274,000			38,200
Loan receivable		250,000						250,000
Total assets		$6,519,100			$5,754,200			$764,900
Accounts payable		$1,010,900			$960,700			$50,200
Income taxes payable		29,900			50,500			(20,600	)
Dividends payable		80,600			100,700			(20,100	)
Lease liabililty		432,100						432,100
Common stock, $1 par		500,000			500,000
Paid-in capital in excess of parcommon stock		1,499,300			1,499,300
Retained earnings		2,966,300			2,643,000			323,300
Total liabilities and stockholders equity		$6,519,100			$5,754,200			$764,900

Additional information:

1.		On December 31, 2019, Shamrock acquired 25% of Myers Co.s common stock for $274,000. On that date, the carrying value of Myerss assets and liabilities, which approximated their fair values, was $1,096,000. Myers reported income of $152,800 for the year ended December 31, 2020. No dividend was paid on Myerss common stock during the year.
2.		During 2020, Shamrock loaned $332,200 to TLC Co., an unrelated company. TLC made the first semiannual principal repayment of $82,200, plus interest at 10%, on December 31, 2020.
3.		On January 2, 2020, Shamrock sold equipment costing $59,800, with a carrying amount of $38,000, for $40,100 cash.
4.		On December 31, 2020, Shamrock entered into a capital lease for an office building. The present value of the annual rental payments is $432,100, which equals the fair value of the building. Shamrock made the first rental payment of $60,300 when due on January 2, 2021.
5.		Net income for 2020 was $403,900.
6.		Shamrock declared and paid the following cash dividends for 2020 and 2019.

		2020		2019
Declared		December 15, 2020		December 15, 2019
Paid		February 28, 2021		February 28, 2020
Amount		$80,600		$100,700

Prepare a statement of cash flows for Shamrock Corp. for the year ended December 31, 2020, using the indirect method