Required information [The following information applies to the questions displayed below) Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, U) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers. (3) purchases of inventory me on credit, (4) debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are invitially debted to Prepaid Expenses FORTEN COMPANY Comparative Balance Sheets December 31 QUES receivable 293.856 (42,625) Prepaid end Total current assets Equipment Accus. depreciation Equipment Tatal assets Liabilities and Equity Short-ters notes payable Total current liabilities Long-tere notes payable Total liabilities Common stock, 55 par value Paid in capital in excess of par, common stock Retained earnings Total liabilities and equity BER For Current Year Ended December 31 Cost of goods sold Gross profit Operating expenses 312, Other expenses Other gains (lesses) Loss on sale of equipment Indboforetres net income Next > Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $17,125 (details in by b. Sold equipment costing $82,875, with accumulated depreciation of $42.125, for $23,625 cash c. Purchased equipment costing $108,375 by paying $54,000 cash and signing a long-term note payable for the balance. d. Borrowed $5,200 cash by signing a short-term note payable. e. Paid $56,125 cash to reduce the long-term notes payable. 1. Issued 3.700 shares of common stock for $20 cash per share. 9. Declared and paid cash dividends of $52,500. Required: 1. Prepare a complete statement of cash flows using the indirect method for the current year. (Amounts to be deducted should be indicated with a minus sign.) FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Adjustments to reconcile net income to nel cash provided by operations Cash flows from investing activities Cash flows from financing activities: TUM III Net increase (decrease) in cash Cash bwance at December 31, prior year Cash baliceat December 31, current year 3 of 5 Next >