Statement of Cash FlowsIndirect Method

The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows:

		Dec. 31, 20Y9		Dec. 31, 20Y8
Assets
Cash		$260,090		$241,950
Accounts receivable (net)		94,220		86,900
Inventories		265,980		257,280
Investments		0		99,670
Land		136,430		0
Equipment		293,460		227,460
Accumulated depreciationequipment		(68,700)		(61,340)
	Total assets	$981,480		$851,920
Liabilities and Stockholders' Equity
Accounts payable		$177,650		$167,830
Accrued expenses payable		17,670		22,150
Dividends payable		9,810		7,670
Common stock, $10 par		53,000		41,740
Paid-in capital: Excess of issue price over par-common stock		199,240		115,860
Retained earnings		524,110		496,670
	Total liabilities and stockholders equity	$981,480		$851,920

Additional data obtained from an examination of the accounts in the ledger for 20Y9 are as follows:

1. Equipment and land were acquired for cash.
2. There were no disposals of equipment during the year.
3. The investments were sold for $89,700 cash.
4. The common stock was issued for cash.
5. There was a $67,480 credit to Retained Earnings for net income.
6. There was a $40,040 debit to Retained Earnings for cash dividends declared.

Required:

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

Merrick Equipment Co.
Statement of Cash Flows
For the Year Ended December 31, 20Y9
Cash flows from operating activities:
Net income	$
Adjustments to reconcile net income to net cash flow from operating activities:
Depreciation
Loss on sale of investments
Changes in current operating assets and liabilities:
Increase in accounts receivable
Increase in inventories
Increase in accounts payable
Increase in accrued expenses payable
Net cash flow from operating activities		$
Cash flows from (used for) investing activities:
Cash received from gain on sale of investments	$
Cash used for purchase of equipment
Net cash flow used for investing activities
Cash flows from (used for) financing activities:
Cash from sale of common stock
Cash used for dividends
Net cash flow from financing activities
Increase in cash		$
Cash at the beginning of the year
Cash at the end of the year		$