Required information [The following information applies to the questions displayed below.) Golden Corp.'s current year income statement, comparative balance sheets, and additional information follow. 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. Prior Year GOLDEN CORPORATION Comparative Balance Sheets December 31 Current Year Assets Cash $ 168,000 Accounts receivable 89,000 Inventory 607,000 Total current assets 864,000 Equipment 345, 700 Accum. depreciation-Equipment (160,000) Total assets $1,049,700 Liabilities and Equity Accounts payable $ 95,000 Income taxes payable 32,000 Total current liabilities 127,000 Equity Common stock, $2 par value 596,800 Paid-in capital in excess of par value, 203,200 common stock Retained earnings 122,700 Total liabilities and equity $1,049, 700 $ 111,400 75,000 530,000 716,400 303,000 (106,000) $ 913,400 $ 75,000 27,100 102, 100 572,000 166,000 73,300 $ 913,400 GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Sales $1,812,000 Cost of goods sold 1,090,000 Gross profit 722,000 Operating expenses Depreciation $ 54,000 expense Other expenses 498,000 552,000 Income before taxes 170,000 Income taxes 27,600 expense Net income $ 142,400 Additional Information on Current Year Transactions a. Purchased equipment for $42,700 cash. b. Issued 12,400 shares of common stock for $5 cash per share. c. Declared and paid $93,000 in cash dividends. Required: 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.) GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operations: Cash flows from investing activities Cash flows from financing activities: Net increase (decrease) in cash Cash balance at December 31, prior year Cash balance at December 31, current year