1. 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		$281,000		$258,980
   Accounts receivable (net)		101,790		93,010
   Inventories		287,360		275,410
   Investments		0		106,690
   Land		147,390		0
   Equipment		317,050		243,480
   Accumulated depreciationequipment		(74,230)		(65,660)
   	Total assets	$1,060,360		$911,910
   Liabilities and Stockholders' Equity
   Accounts payable		$191,930		$179,650
   Accrued expenses payable		19,090		23,710
   Dividends payable		10,600		8,210
   Common stock, $10 par		57,260		44,680
   Paid-in capital: Excess of issue price over par-common stock		215,250		124,020
   Retained earnings		566,230		531,640
   	Total liabilities and stockholders equity	$1,060,360		$911,910

   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 $96,020 cash.
   4. The common stock was issued for cash.
   5. There was a $77,450 credit to Retained Earnings for net income.
   6. There was a $42,860 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
   Decrease 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 land
   Cash used for purchase of equipment
   Net cash flow used for investing activities
   Cash flows from (used for) financing activities:
   Net cash flow from financing activities
   		$
   Cash at the beginning of the year
   Cash at the end of the year		$