Required information

Golden Corp., a merchandiser, recently completed its 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, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow.

GOLDEN CORPORATION

Comparative Balance Sheets

December 31, 2017 and 201620172016AssetsCash$175,000$119,100Accounts receivable99,50082,000Inventory617,500537,000Total current assets892,000738,100Equipment364,600310,000Accum. depreciationEquipment(163,500)(109,500)Total assets$1,093,100$938,600Liabilities and EquityAccounts payable$109,000$82,000Income taxes payable39,00030,600Total current liabilities148,000112,600EquityCommon stock, $2 par value614,000579,000Paid-in capital in excess of par value, common stock207,000176,500Retained earnings124,10070,500Total liabilities and equity$1,093,100$938,600

GOLDEN CORPORATION

Income Statement

For Year Ended December 31, 2017Sales$1,847,000Cost of goods sold1,097,000Gross profit750,000Operating expensesDepreciation expense$54,000Other expenses505,000559,000Income before taxes191,000Income taxes expense37,400Net income$153,600

Additional Information on Year 2017 Transactions

1. Purchased equipment for $54,600 cash.
2. Issued 13,100 shares of common stock for $5 cash per share.
3. Declared and paid $100,000 in cash dividends.

Required:

complete statement of cash flows; report its cash inflows and cash outflows from operating activities according to theindirect method.(Amounts to be deducted should be indicated with a minus sign.)

rev: 11_15_2017_QC_CS-108324

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