Statement of Cash Flows (Indirect Method) Use the following information regarding the Lund Corporation to (a) prepare a statement of cash flows using the indirect method and (b) compute Lund's operating-cash-flow-to-current-liabilities ratio. Accounts payable increase $14,400 Accounts receivable increase 6,400 Accrued liabilities decrease 4,800 Amortization expense 9,600 Cash balance, January 1 35,200 Cash balance, December 31 24,000 Cash paid as dividends 46,400 Cash paid to purchase land 144,000 Cash paid to retire bonds payable at par 96,000 Cash received from issuance of common stock 56,000 Cash received from sale of equipment 27,200 Depreciation expense 46,400 Gain on sale of equipment 6,400 Inventory decrease 20,800 Net income 121,600 Prepaid expenses increase 3,200 Average current liabilities 160,000 a. Use negative signs with cash outflow answers. LUND CORPORATION Statement of Cash Flows For Year Ended December 31 0 0 0 0 a. Use negative signs with cash outflow answers. LUND CORPORATION Statement of Cash Flows For Year Ended December 31 Cash Flow from Operating Activities Net Income $ 0 Add (deduct) items to convert net income to cash basis Depreciation 0 Amortization 0 Gain on Sale of Equipment 0 Accounts Receivable Increase Inventory Decrease 0 Prepaid Expenses Increase 0 Accounts Payable Increase 0 Accrued Liabilities Decrease Cash Flow Provided by Operating Activities Cash Flow from Investing Activities Sale of Equipment Purchase of Land Cash Used by Investing Activities 0 Cash Flow from Financing Activities Issuance of Common Stock 0 Retirement of Bonds Payable 0 Payment of Dividends 0 Cash Used by Financing Activities 0 Net Decrease in Cash 0 Cash at Beginning of Year 0 Cash at End of Year $ 0 0 0 0 0 b. Operating cash-flow-to-current-liabilities ratio (Round answers to tw Accrued Lidmes Uuede 0 0 0 0 0 Cash Flow Provided by Operating Activities Cash Flow from Investing Activities Sale of Equipment Purchase of Land Cash Used by Investing Activities Cash Flow from Financing Activities Issuance of Common Stock Retirement of Bonds Payable Payment of Dividends Cash Used by Financing Activities Net Decrease in Cash Cash at Beginning of Year Cash at End of Year 0 0 0 0 0 $ 0 b. Operating-cash-flow-to-current-liabilities ratio (Round answers to two decimal places.) 0 Check