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, (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, and (4) all debits to Accounts Payable reflect cash payments for inventory. FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales $ 637,500 Cost of goods sold 296,000 Gross profit Operating expenses (excluding depreciation) $ 143,400 Depreciation expense Other gains (losses) 341,500 31,750 175,150 Loss on sale of equipment Income before taxes (16,125) Income taxes expense Net income 150,225 39,650 $ 110,575 Assets Cash FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year $ 66,400 82,380 $ 84,500 61,625 262,800 Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Long-term notes payable Total liabilities Equity Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity Additional Information on Current Year Transactions 292,156 1,320 2,115 442,256 411,040 146,500 119,000 (42,125) (51,500) $ 546,631 $ 478,540 $ 64,141 $ 131,175 72,800 67,950 136,941 199,125 179,250 161,250 54,000 0 176,440 118,165 $ 546,631 $ 478,540 a. The loss on the cash sale of equipment was $16,125 (details in b). b. Sold equipment costing $79,875, with accumulated depreciation of $41,125, for $22,625 cash. c. Purchased equipment costing $107,375 by paying $52,000 cash and signing a long-term notes payable for the balance. d. Paid $50,525 cash to reduce the long-term notes payable. e. Issued 3,600 shares of common stock for $20 cash per share. f. Declared and paid cash dividends of $52,300. Required: Prepare a complete statement of cash flows using a spreadsheet using the indirect method. Note: Enter all amounts as positive values. Balance sheet-debit Cash Accounts receivable Inventory Prepaid expenses Equipment Balance sheet-credit Accumulated depreciation-Equipment Accounts payable FORTEN COMPANY Spreadsheet for Statement of Cash Flows For Current Year Ended December 31 December 31, Prior Year Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par value, common stock Retained earnings Statement of cash flows Operating activities Investing activities Financing activities Non cash investing and financing activities Purchase of equipment financed by long-term notes payable Analysis of Changes December 31, Debit Credit Current Year $ 84,500 $ 66,400 61,625 262,800 2,115 119,000 $ 530,040 $ 66,400 $ 51,500 131,175 67,950 161,250 0 118,165 $ 530,040 $ 0 $ 0 $ 0