Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 20Y8, is as follows: Dec. 31, 2019 Dec 31, 2048 Assets Cash $244,480 $225,590 Accounts receivable (net) 88,570 81,020 Inventories 250,000 239,880 Investments 92,940 Land 128,240 Equipment 275,850 212,080 Accumulated depreciation equipment (64,580) (57,190) Total assets $922,560 $794,320 0 0 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $166,980 $156,480 Accrued expenses payable (operating expenses) 16,610 20,650 Dividends payable 9,230 7,150 Common stock, $10 par 49,820 38,920 Paid-in capital in excess of par-common stock 187,280 108,030 Retained earnings 492,640 463,090 Total liabilities and stockholders' equity $922,560 $794,320 Additional data obtained from an examination of the accounts in the ledger for 2049 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $108,740 cash. d. The common stock was issued for cash. e. There was a $66,880 credit to Retained Earnings for net income. f. There was a $37,330 debit to Retained Earnings for cash dividends declared. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2049 Cash flows from (used for) operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities Cash flows from (used for) investing activities: Net cash flow used for investing activities Cash flows from (used for) financing activities: Net cash flow from financing activities 0000 Cash balance, January 1, 2049 Cash balance, December 31, 2049