Statement of Cash Flows-Direct Method The comparative balance sheet of Martinez Inc. for December 31, 20Y4...

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Statement of Cash Flows-Direct Method The comparative balance sheet of Martinez Inc. for December 31, 20Y4 and 20Y3, is as follows: Cash Accounts receivable (net) Inventories Investments Land Equipment Assets Accumulated depreciation-equipment Total assets Liabilities and Stockholders' Equity Dec. 31, 20Y4 Dec. 31, 20Y3 $661,920 992,640 $683,100 914,400 1,394,400 1,363,800 0 432,000 960,000 0 1,224,000 984,000 (481,500) (368,400) $4,751,460 $4,008,900 Accounts payable (merchandise creditors) $1,080,000 $966,600 Accrued expenses payable (operating expenses) 67,800 79,200 Dividends payable 100,800 91,200 Common stock, $5 par 130,000 30,000 Paid-in capital in excess of par-common stock 950,000 450,000 Retained earnings 2,422,860 2,391,900 Total liabilities and stockholders' equity $4,751,460 $4,008,900 The income statement for the year ended December 31, 20Y3, is as follows: Sales Cost of goods sold Gross profit $4,512,000 (2,352,000) $2,160,000 Statement of Cash Flows-Direct Method The comparative balance sheet of Martinez Inc. for December 31, 20Y4 and 20Y3, is as follows: Cash Accounts receivable (net) Inventories Investments Land Equipment Assets Accumulated depreciation-equipment Total assets Liabilities and Stockholders' Equity Dec. 31, 20Y4 Dec. 31, 20Y3 $661,920 992,640 $683,100 914,400 1,394,400 1,363,800 0 432,000 960,000 0 1,224,000 984,000 (481,500) (368,400) $4,751,460 $4,008,900 Accounts payable (merchandise creditors) $1,080,000 $966,600 Accrued expenses payable (operating expenses) 67,800 79,200 Dividends payable 100,800 91,200 Common stock, $5 par 130,000 30,000 Paid-in capital in excess of par-common stock 950,000 450,000 Retained earnings 2,422,860 2,391,900 Total liabilities and stockholders' equity $4,751,460 $4,008,900 The income statement for the year ended December 31, 20Y3, is as follows: Sales Cost of goods sold Gross profit $4,512,000 (2,352,000) $2,160,000