Required information Forten Company, a merchandiser, recently completed its calendar-year 2017 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company's income statement and balance sheets follow. FORTEN COMPANY Comparative Balance Sheets December 31, 2017 and 2016 2017 2016 Assets 89,500 66, 625 267,800 2,215 426, 140 Cash 73,900 89,930 299,656 1,370 Accounts receivable Inventory Prepaid expenses Total current a3sets Equipment Accum. depreciation-Equipment 464,856 124,000 (54,000) 141,500 (44,625) Total a3sets $561,731 $496,140 Liabilities and Equity Accounts payable Short-term notes payable 69,141 14,800 83,941 57,000 138, 675 9,200 147,875 64,750 212, 625 Total current liabilities Long-term notes payable Total liabilities Equity Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings 140,941 194,750 166,250 53,500 172,540 117,265 Total liabilities and equity 561,731 496,140 FORTEN COMPANY Income Statement For Year Ended December 31, 2017 Sales S 662,500 Cost of goods sold Gross profit Operating expenses Depreciation expense Other expenses Other gains (losses) 301,000 361, 500 $36,750 148,400 185,150 Loss on sale of equipment (21,125 155,225 Income before taxes 46, 650 Income taxes expense $ 108,575 Net income Additional Information on Year 2017 Transactions a. The loss on the cash sale of equipment was $21,125 (details in b) b. Sold equipment costing $94,875, with accumulated depreciation of $46,125, for $27,625 cash c. Purchased equipment costing $112,375 by paying $62,000 cash and signing a long-term note payable for the balance. d. Borrowed $5,600 cash by signing a short-term note payable. e. Paid $58,125 cash to reduce the long-term notes payable. f. Issued 4,100 shares of common stock for $20 cash per share g. Declared and paid cash dividends of $53,300. Required: Prepare a complete statement of cash flows using a spreadsheet report Its operating activitles using the Indirect method. (Enter all amounts as positive values.) FORTEN COMPANY Spreadsheet for Statement of Cash Flows For Year Ended December 31, 2017 Analysis of Changes December 31, 2016 Debit Credit December 31, 2017 Balance sheet-debit Cash S 89,500 S 73,900 Accounts receivable 68,825 267,800 Inventory Prepaid expenses 2.215 Equipment 124,000 550,140 Balance sheet-gredit Accumulated depreciation-Equipment S 54,000 Accounts payable 138,675 Short-term notes payable 9,200 Long-term notes payable 64,750 188.250 Common stock, S5 par value Paid-in capital in excess of par value, common stodk 0 Retained earnings 117,265 550,140 Statement of cash flows Operating activities Investing activities Financing activities Non cash investing and financing activities Purchase of equipment financed by long-term note yable