Question 3 [30 points) Use the Courtland Corp financial statements and supplementary information given below to prepare a statement of cash flows for the year ended December 31, 2014 using the indirect method Additional Information a Purchased machinery for $45,000 cash b. Sold the long-term investment on January 1, 2014 for $21.000 c Sold machinery for $19 000 cash that had onginally cost $66,500 and had $47,500 of accumulated depreciation d. Issued $56,000 of bonds payable at face value e The short-term investment is a treasury bill that was purchased with maturity in 90 days (select one) Statement of Cash Flows (select one) Cash flows from operating activities Courtland Corp Comparative Balance Sheet Information December 31 Assets 2014 2013 Cash 193,000 130,000 Short-term investments 152.000 147.000 Accounts receivable 72 200 97,000 Merchandise inventory 47 800 29,000 Long term investment 0 39.000 Machinery 148,500 170,000 Accumulated depreciation 185,500). (105,000) Total assets 528,000 507.000 Adjust. fo reconcile net income to cash provided by oper act x Cash flows from investing activities X Cash flows from financing activities x 1 Liabilities and Equity Accounts payable Dividends payable Bonds payable Share capital Retained earnings Total abilities and equity 17,000 25,000 56.000 289,000 141.000 528.000 Net increase (decrease) in cash Cash at beginning of year Cash at end of year 54000 29,000 0 289.000 135,000 507000 Courtiand Corp Income Statement For Year Ended December 31, 2014 Sales 750,000 Cost Of Goods Sold 680,000 Depreciation expense 28,000 Other expenses 28.000 (736.000) Loss on sale of long-term investment (18.000) Net income 6,000