Refer to the following financial statements for Crosby Corporation:

CROSBY CORPORATION

Income Statement

For the Year Ended December 31, 20X2Sales$3,900,000Cost of goods sold2,470,000Gross profit$1,430,000Selling and administrative expense618,000Depreciation expense290,000Operating income$522,000Interest expense87,100Earnings before taxes$434,900Taxes127,000Earnings after taxes$307,900Preferred stock dividends10,000Earnings available to common stockholders$297,900Shares outstanding150,000Earnings per share$1.99

Statement of Retained Earnings

For the Year Ended December 31, 20X2Retained earnings, balance, January 1, 20X2$1,079,600Add: Earnings available to common stockholders, 20X2297,900Deduct: Cash dividends declared and paid in 20X2170,000Retained earnings, balance, December 31, 20X2$1,207,500

Comparative Balance Sheets

For 20X1 and 20X2

Year-End

20X1Year-End

20X2AssetsCurrent assets:Cash$102,000$48,500Accounts receivable (net)507,000600,000Inventory698,000754,000Prepaid expenses60,30037,900Total current assets$1,367,300$1,440,400Investments (long-term securities)97,00088,100Gross plant and equipment$ 2,630,000$ 3,280,000Less: Accumulated depreciation1,370,0001,660,000Net plant and equipment1,260,0001,620,000Total assets$2,724,300$3,148,500Liabilities and Stockholders' EquityCurrent liabilities:Accounts payable$321,000$583,000Notes payable553,000553,000Accrued expenses75,70053,000Total current liabilities$949,700$1,189,000Long-term liabilities:Bonds payable, 20X2105,000162,000Total liabilities$1,054,700$1,351,000Stockholders' equity:Preferred stock, $100 par value$90,000$90,000Common stock, $1 par value150,000150,000Capital paid in excess of par350,000350,000Retained earnings1,079,6001,207,500Total stockholders' equity$1,669,600$1,797,500Total liabilities and stockholders' equity$2,724,300$3,148,500

a.Make a statement of cash flows for the Crosby Corporation:(Amounts to be deducted should be indicated with parentheses or a minus sign.)