Statement of Cash Flows (Please respond to Question B using Indirect Method format despite the text at top of the image - must be a system glitch)

The Wolff Company's income statement and comparative balance sheets at December 31 of 2013 and 2012 are shown below:

Statement of Cash Flows (Direct Method) The Wolff Company's income statement and comparative balance sheets at December 31 of 2013 and 2012 are shown below: WOLFF COMPANY Income Statement For the Year Ended December 31, 2013 Sales Revenue $889,000 Cost of Goods Sold $602,000 Wages Expense 120,400 Insurance Expense 11,200 Depreciation Expense Interest Expense 12,600 Income Tax Expense 40,600 810,600 Net Income $78,400 WOLFF COMPANY Balance Sheets Dec. 31, 2013 Dec. 31, 2012 Assets Cash $15,400 $7,000 Accounts Receivable 57,400 44,800 Inventory 126,000 84,000 Prepaid Insurance 7,000 9,800 Plant Assets 350,000 273,000 Accumulated Depreciation (95,200) (71,400) Total Assets $460,600 $347,200 Liabilities and Stockholders' Equity Accounts Payable $9,800 $14,000 Wages Payable 12,600 8,400 Income Tax Payable 9,800 11,200 Bonds Payable 182,000 105,000 Common Stock 126,000 126,000 Retained Earnings 120,400 82,600 Total Liabilities and Stockholders' Equity $460,600 $347,200 Cash dividends of $40,600 were declared and paid during 2013. Plant assets were purchased for cash and bonds payable were issued for cash. Bond interest is paid semi-annually on June 30 and December 31. Accounts payable relate to merchandise purchases. Required a. Calculate the change in cash that occurred during 2013. b. Prepare a statement of cash flows using the indirect method. C. Compute free cash flow. d. Compute the operating-cash-flow-to-current-liabilities ratio. e. Compute the operating-cash-flow-to-capital-expenditures ratio. a. Change in Cash during 2013 $ 0 b. Use a negative sign with cash outflow answers. WOLFF COMPANY Statement of Cash Flows For Year Ended December 31, 2013 Cash Flow from Operating Activities Cash Received from Customers Cash paid for Merchandise Purchased $ Cash Paid to Employees Cash Paid as Insurance Cash Paid for Interest Cash Paid as Income Taxes Cash Provided by Operating Activities Cash Flow from Investing Activities Purchase of Plant Assets Cash Flow from Financing Activities Issuance of Bonds Payable Payment of Dividends Cash Provided by Financing Activities Net Change in Cash Cash at Beginning of Year Cash at End of Year c. Free cash flow $ 0 d. Operating-cash-flow-to-current-liabilities ratio. Round answer to two decimal places. e. Operating-cash-flow-to-capital-expenditures ratio. Round answer to two decimal places