Statement of Cash Flows (Indirect Method) The Towne Company's income statement and comparative balance sheets as of December 31 of 2013 and 2012 follow: TOWNE COMPANY Income Statement For the Year Ended December 31, 2013 Service Fees Earned Dividend and Interest Income $317,000 14,000 $331,000 Wages and Other Operating Expenses $285,000 Depreciation Expense 52,000 Franchise Amortization Expense 10,000 Loss on Sale of Equipment Gain on Sale of Investments Net Loss 7,000 (17,000) 337,000 $(6,000)