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saved LAG Network Inc.'s balance sheet and income statement are as follows: LAG Network Inc. Income Statement For Year Ended December 31, 2020 Sales Cost

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saved LAG Network Inc.'s balance sheet and income statement are as follows: LAG Network Inc. Income Statement For Year Ended December 31, 2020 Sales Cost of goods sold Gross profit Operating expenses: Depreciation expense $ 25,200 Other expenses 231,800 Total operating expenses Profit from operations Income taxes Profit $ 928,600 556,200 $ 372,400 ht 257,000 $ 115,400 18,600 $ 96,800 LAG Network Inc. Comparative Balance Sheet Information December 31 2020 2019 Assets Cash $ 81,190 54,400 Accounts receivable 42,400 37,600 Merchandise inventory 285,710 247,800 Equipment 154,400 138,400 Accumulated depreciation (71,800) (46,600) Total assets $ 491,900 $ 431,600 Liabilities and Equity Accounts payable $ 31,200 $ 43,800 Theme Pare NAVahle 11 GAA 10 200 W $ LAG Network Inc. Comparative Balance Sheet Information December 31 2020 2019 Assets Cash 81,190 $ 54,400 Accounts receivable 42,400 37,600 Merchandise inventory 285,710 247,800 Equipment 154,400 138,400 Accumulated depreciation (71,800) (46,609) Total assets $ 491,900 $ 431,600 Liabilities and Equity Accounts payable $ 31,200 $ 43,800 Income taxes payable 11,600 10,200 Common shares 363,000 337,500 Retained earnings 86,100 40,100 Total liabilities and equity $ 491,900 $ 431,600 Additional information regarding LAG Network Inc.'s activities during 2020: a. Equipment is purchased for $16,000 cash. b. 10,200 common shares are issued for cash at $2.50 per share. c. Declared and paid $50,800 of cash dividends during the year Required: Prepare a statement of cash flows for 2020 that reports the cash inflows and outflows from operating activities according to the indirect method. (List any deduction in cash and cash outflows as negative amounts.) Required: Prepare a statement of cash flows for 2020 that reports the cash inflows and outflows from operating activities according to the indirect method. (List any deduction in cash and cash outflows as negative amounts.) LAG NETWORK INC. Statement of Cash Flows For Year Ended December 31, 2020 Cash flows from operating activities: Adjustments to reconcile profit to net cash inflows from operating activities: $ 0 Cash flows from investing activities 0 Activate Windows $ 0 Cash flows from investing activities: 0 Cash flows from financing activities $

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