Statement of Cash Flows (Indirect Method) The Dairy Company's income statement and comparative balance sheets as of December 31 of the current year and the previous year follow:

DAIRY COMPANY Income Statement For the Year Ended December 31
Sales Revenue		$910,000
Cost of Goods Sold	$572,000
Wages and Other Operating Expenses	123,500
Depreciation Expense	28,600
Goodwill Amortization Expense	9,100
Interest Expense	13,000
Income Tax Expense	46,800
Loss on Bond Retirement	6,500	799,500
Net Income		$110,500

DAIRY COMPANY Balance Sheets
	Dec. 31, Current Year	Dec. 31, Previous Year
Assets
Cash	$35,100	$23,400
Accounts Receivable	68,900	62,400
Inventory	133,900	141,700
Prepaid Expenses	15,600	13,000
Plant Assets	468,000	436,800
Accumulated Depreciation	(113,100)	(109,200)
Goodwill	55,900	65,000
Total Assets	$664,300	$633,100
Liabilities and Stockholders' Equity
Accounts Payable	$41,600	$33,800
Interest Payable	5,200	9,100
Income Tax Payable	7,800	10,400
Bonds Payable	78,000	156,000
Common Stock	327,600	296,400
Retained Earnings	204,100	127,400
Total Liabilities and Stockholders' Equity	$664,300	$633,100

During the year, the company sold for $22,100 cash old equipment that had cost $46,800 and had $24,700 accumulated depreciation. New equipment worth $78,000 was acquired in exchange for $78,000 of bonds payable. Bonds payable of $156,000 were retired for cash at a loss. A $33,800 cash dividend was declared and paid. All stock issuances were for cash. Required a. Compute the change in cash that occurred in the current year. b. Prepare a statement of cash flows using the indirect method. a. Change in Cash during the current year $Answer AnswerIncreaseDecrease

b. Use a negative sign with cash outflow answers.

DAIRY COMPANY Statement of Cash Flows For Year Ended December 31
Cash Flow from Operating Activities
Net Income		Answer
Add (deduct) items to convert net income to cash basis
Depreciation		Answer
Goodwill Amortization		Answer
Loss on Bond Retirement		Answer
Accounts Receivable	AnswerIncreaseDecrease	Answer
Inventory	AnswerIncreaseDecrease	Answer
Prepaid Expenses	AnswerIncreaseDecrease	Answer
Accounts Payable	AnswerIncreaseDecrease	Answer
Interest Payable	AnswerIncreaseDecrease	Answer
Income Tax Payable	AnswerIncreaseDecrease	Answer
Cash Flow Provided by Operating Activities		Answer
Cash Flow from Investing Activities
Sale of Equipment		Answer
Cash Flow from Financing Activities
Retirement of Bonds Payable		Answer
Issuance of Common Stock		Answer
Payment of Dividends		Answer
Cash Used by Financing Activities		Answer
Net Change in Cash	Answer
Cash at Beginning of Year		Answer
Cash at End of Year		Answer

Please answer all parts of the question.