Question 27 (10 points) Saved Statement of cash flows (indirect method) The Group Inc. Balance Sheet December 31 (in thousands) There is no prior year balance sheet number as this is first year in operation. ASSETS Cash and cash equivalents $25,000 Accounts Receivables, Net $125,000 Equipment $10,000 Accumulated Depreciation $2,000 Total Assets $158,000 LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable $25,000 Income Tax Payable $26,600 Retained earnings $106,400 Total liabilities and stockholders' equity $158,000 Consolidated statement of income-Year ended December 31 (in thousands) Net sales $250,000 Cost of goods sold 75.000 fit 175 Cost of goods sold 75,000 Gross profit 175,000 Operating expenses Selling, General & Admin expenses 40,000 Depreciation expense 2,000 Total operating expenses 42,000 Operating income 133,000 interest income 0 income before income taxes $133,000 income tax expense 26,600 Net income $106,400 The Group Inc. did not sell any equipment or repay any long-term notes during the current year. The company paid no dividend during the current year. Using the information provided above, compute the net cash flow provided by (used for) operating activities using the indirect method. Then compute the cash flows during the current year for each category (operating/investing/financing) and reconcile it to cash equivalents at end of the year. Your goal is to show me how company increased its cash to $25.000 by the end of the first year in business