Question 12 of 12 - /2.5 Cash Accounts receivable Inventory Available-for-sale debt investments Buildings Equipment Patents December 31 2020 2019 $33,100 $12,900 12,300 9,900 12,100 8,900 -0- 3,100 -0 29,500 45,000 20,100 5,000 6,200 $107,500 $90,600 Allowance for doubtful accounts Accumulated depreciation-equipment Accumulated depreciation-building Accounts payable Dividends payable Notes payable, short-term (nontrade) Long-term notes payable Common stock Retained earnings $3,000 2,000 -0- 5,000 -0- 2.900 31,000 43.000 20.600 $107,500 $4,500 4,500 6,100 3,100 5,000 3,900 25,000 33,000 5,500 $90,600 Additional data related to 2020 are as follows. 1. 2. 3. 4. Equipment that had cost $10,900 and was 40% depreciated at time of disposal was sold for $2,600. $10,000 of the long-term note payable was paid by issuing common stock. Cash dividends paid were $5,000. On January 1, 2020, the building was completely destroyed by a flood. Insurance proceeds on the building were $29,800 (net of $2,000 taxes). Debt investments (available-for-sale) were sold at $1,700 above their cost. The company has made similar sales and investments in the past. Cash was paid for the acquisition of equipment. A long-term note for $16,000 was issued for the acquisition of equipment. Interest of $1,900 and income taxes of $6,600 were paid in cash. 5. 6. 7. 8. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g.-15,000 or in parenthesis e.g. (15,000).) Adjustments to reconcile net income to $ > Y Supplemental disclosures of cash flow information: . $ $ $