Question 7 Condensed financial data of Indigo Company for 2020 and 2019 are presented below. INDIGO COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 2020 2019 Cash $1,780 $1,130 Receivables 1,740 1,290 Inventory 1,610 1,870 Plant assets 1,930 1,710 Accumulated depreciation (1,210 ) (1,150 ) Long-term investments (held-to-maturity) 1,290 1,440 $ 7,140 $6,290 $900 240 Accounts payable Accrued liabilities Bonds payable Common stock Retained earnings $1,180 190 1,410 1,920 2,440 $7,140 1,590 1,690 1,870 $6,290 INDIGO COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue Cost of goods sold $6,880 4,650 $6,880 4,650 2,230 940 1,290 Sales revenue Cost of goods sold Gross margin Selling and administrative expenses Income from operations Other revenues and gains Gain on sale of investments Income before tax Income tax expense Net income Cash dividends Income retained in business 80 1,370 540 830 260 $570 Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2020. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with eith INDIGO COMPANY Statement of Cash Flows (Indirect Method) Adjustments to reconcile net income to