Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 2048, is as follows: Dec. 31, 2019 Dec. 31, 20Y8 Assets $252,210 $236,230 Cash Accounts receivable (net) 91,370 84,840 Inventories 257,910 251,210 Investments 0 97,320 Land 132,290 0 284,560 222,090 Equipment Accumulated depreciation-equipment (66,620) $951,720 (59,890) $831,800 Total assets $172,260 $ 163,860 17,130 21,630 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) Accrued expenses payable (operating expenses) Dividends payable Common stock, $10 par Paid-in capital in excess of par-common stock Retained earnings 9,520 51,390 7,490 40,760 113,120 193,200 508,220 484,940 Total liabilities and stockholders' equity $951,720 $831,800 Additional data obtained from an examination of the accounts in the ledger for 2019 are as follows: Net income Additional data obtained from an examination of the accounts in the ledger for 20y9 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 $113,860 cash. d. The common stock was issued for cash. e. There was a $62,370 credit to Retained Earnings for net income. f. There was a $39,090 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 outlows, cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: 62.370 Adjustments to reconcile net income to net cash flow from operating activities Depreciation 6,730 Gain on sale of investments -16.540 Changes in current operating assets and liabilities Increase in accounts receivable Increase in inventories -6,700 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 sale of investments Cash paid for purchase of land Cash paid for purchase of equipment R.100 -4,500 0 -6,700 8.400 -4,500 Increase in accounts receivable Increase in inventories Increase in accounts payables Decrease in accrued expenses payable Net cash flow from operating activities Cash flows from (used for) investing activities: Cash received from sale of investments Cash paid for purchase of land Cash paid for purchase of equipment: Net cash flow used for investing activities Cash flows from used for) financing activities Cash received from sale of common stock Cash paid for dividends Net cash flow from financing activities Net Increase in cash Cash balance, January 1, 2019 Cash balance, December 31, 2019