Required Prepare the Statement of Cash Flows for Rincorp using the INDIRECT method by completing the worksheet below Prepare the Statement of Cash Flows for RioCorp using the DIRECT method by completing the worksheet below Be sure to indicate in which section of the statement each should be shown Rich Corp Income Statement EYE 12/1/20 2.670.000 Revenues Cost of Goods Sold Operating Expenses Interest Expense Loss on sale of equipment Income before income taxes Income taxe Net Income 11.195.000 1661.000) 36.000 15.000 2.100.000 570,000 395.000 Additional Information relating to 2020 activities Cath dividends of $165.000 were dedared and paid Equipment conting $120,000 and having a carrying value of $108,000, was sold for $10,000 catch Equipment with a cost of $49.000 was purchased for cash Operating expenses include depreciation expense of $99,000 and amortization of prepaid expenses of $6,000 Land was sold at its book value for cash Interest expense of $ 36,000 was paid in cash Common stock was issued for cash Inventory was purchased on credit Assume operating expenses are paid in cash INDIRECT METHOD Debits Credits DIRECT Cash Accounts Receivable Inventory Prepaid insurance Land Buildings Equipment 12/31/19 111,000 78.000 0 18,000 210,000 500,000 20400 1.221.000 12/31/20 162.000 204,000 362.000 12.000 135,000 500,000 529.000 1.854.000 Cash Accounts Inventory Prepaid Land Buildings Equipment 12/31/19 Debits 111.000 78,000 0 18.000 210,000 600,000 200.000 1,221.000 12/91/20 162,000 204,000 162.000 12.000 135.000 500,000 1.854.000 Acumulated Depreciation Accumulated Depreciation Accounts Payable Bonds Payable Common Stock $1 parl Retained Earnings 33,000 30.000 120,000 450,000 180,000 40.000 1.221.000 63.000 $4.000 99,000 330.000 660,000 610.000 1.854.000 Acum 33.000 Acumulat 30,000 Accounts 120,000 Bonds 450,000 Common 180,000 Retained 400.000 1,221,000 63.000 34,000 99,000 330,000 660,000 . 1,854,000 Cash Flow Section INDIRECT method: Income Revenues Cost of Operating Interest Loss on Income tax Net Cash Flow Section DIRECT method