Statement of Cash Flows- Indirect Method Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities

I l MW" WU" "Umm IIEIUWI 1qu IN" UH him (dal: UP 'm fl, ' fl 1 lI'I'FJIIIIEI'I'IW'M Il ILRJIJHHUW1 Him '1 1 N ' Fu 1" ! I'I' I 'I "IN We! lt; Hi! 'I ' Illllillfl'lll 4 II!JIIII[[I!II1II'Illllklhil'l' IHileIL'I'Ii'W" Il!"ill'lll'1lllillll: ,Ii"l"i'li""lll'II ,l him I "Hilly", II. . N fill" a Him", uIU.'IIIJIII'I'II II II" III III' "IJ u v 'I "III".N'H'III'IIl ' lil Mf? Illilllllull'll My '1 fl "IIH'YW ' II v M' III we " l l L l,:llg:fr'[g', x', If lil fl Il l'lllliiI'qj' 1 I I 'lJ'IIIIl I 'l l yiof5 ACCOUNT Land ACCOUNT NO. 3 Balance Date 1 Item ; Debit : Credit 5 Debit Credit ' + c , . . . . - - . 2016 : I ' Jan. 1 5 Balance . 1,386.000 ' Apr. 20 Realized S456,000 cash from sale 1' t 396,000 990,000 ACCOUNT Buildings ACCOUNT NO. 15 Balance , . . Date ; Item ' Debit Credit Debit Credit r i l r 20l6 ; ' i ; Jan. 1 Balance ' 990,000 ; Apr. 20 Acquired for cash 990,000 . 1,980,000 f ACCOUNT Accumulated Depreciation-Buildings ACCOUNT NO. Balance Date Item Deblt Credit Debit Credit 2016 ' Jan. 1 Balance 366,000 Dec. 31 Depreciation for year 31,200 . 397,200 ACCOUNT Equipment ACCOUNT NO. Balance Date : Item Deblt ; Credlt ' Debit Credit 1 , . - . M .- . . . r L - 2016 r Jan. ' 1 Balance 529.800 26 Discarded, no salvage 66,000 463,800 . Aug. 11 Purchased for cash 196,800 ' 660.600 ' ACCOUNT Accumulated Deprea'ation-E'quipment ACCOUNT NO. Balance Date ' Item Debit . Credit Debit Credit 2016 . Jan. 1 j Balance 2 162,000 26 Equipment discarded ; 66.000 ' 96,000 Dec. 31 Depreciation for year 3 ' 37.200 133,200 ACCOUNT Bonds Payable ACCOUNT NO. Balance Date Item Debit 1 Credit Debit Credit v . . L l 2016 , ' ' May f 1 Issued 20-year bonds ' 330,000 1; 330,000 (Continued)30f5 : ACCOUNT Common Stock, 320 par ACCOUNT NO. ; Balance Date Item Debit Credit 5 Debit i Credit . 1 . . -.- I .. ', e . ' e + 2016 Jan. : 1 Balance 180,000 Dec. 7 Issued 7,000 shares of common : 5 stock for 540 per share ' 140,000 I 320,000 ACCOUNT Paldln Capital in Excess of Par-Common Stock ACCOUNT NO. ; Balance Date Item f Deblt 1 Credit Debit Credit ' ' .+ . 2016 ' ' ' Jan. 1 1 : Balance 5 g 1 810,000 Dec. 5 7 Issued 7.000 shares of common stock for $40 per share 140,000 950,000 ACCOUNT Retained Earnings ACCOUNT NO. . Balance Date item Debit ' Credit = Debit ; Credit e o i . . - . 2016 r ' Jan. 1 Balance s , 2.574,600 Dec. 31 Net income 326,600 ' 2.901,200 31 Cash dividends 79,200 2,822,000 Instructions Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.