Statement of Cash Flows - Assignment Weir Company's Balance Sheet and Income Statement are as follows: Weir Company Comparative Balance Sheet Information Assets December 31 2013 2012 Cash Accounts receivable Merchandise Inventory Prepaid expenses Equipment Accumulated amortization. Total Assets $75,425 $107,275 91,000 69,475 383,250 353,500 7,525 8,750 223,300 154,000 (48,475) (61,600) $732,025 $631,400 Liabilities and Equity Accounts Payable $123,375 $163,275 Short-term notes payable........ 14,000 8,750 Long-term notes payable.. 131,250 75,250 Common shares 281,750 218,750 Retained earnings Total liabilities and equity 181,650 165,375 $732,025 $631,400 Weir Company Income Statement For Period Ending December 31, 2013 Sales Cost of Goods Sold Gross profit Operating expenses; Amortization expense. $694,750 350,000 $344,750 $26,250 Other expenses 191,100 Total operating expenses 217,350 Loss on sale of equipment.. Income from operations. Income taxes Net Income 7,175 $120,225 16,975 $103,250 Other information: 1. Equipment costing $65,625, with accumulated amortization of $39,375 is sold for $19,075 2. Equipment costing $134,925 is purchased by paying cash of $35,000 and signing a long- term note payable for the balance 3. Loss on sale of equipment is $7,175 4. Borrowed $5,250 by signing a short-term note payable 5. Paid $43,925 to reduce a long term note payable 6. Issued 3,500 common shares for cash for $18 per share 7. Declared and paid cash dividends of $86,975. Assignment Steps: 1) Prepare a Statement of Cash Flows