Statement of Cash FlowsIndirect Method

The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows:

		Dec. 31, 20Y8		Dec. 31, 20Y7
Assets
Cash		$91,290		$111,530
Accounts receivable (net)		140,280		150,350
Inventories		200,410		186,340
Prepaid expenses		8,160		5,650
Equipment		408,230		333,870
Accumulated depreciation-equipment		(106,140)		(81,880)
	Total assets	$742,230		$705,860
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)		$155,870		$147,520
Mortgage note payable		0		211,760
Common stock, $1 par		24,000		15,000
Paid-in capital in excess of par-common stock		352,000		199,000
Retained earnings		210,360		132,580
	Total liabilities and stockholders equity	$742,230		$705,860

Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows:

1. Net income, $199,120.
2. Depreciation reported on the income statement, $51,970.
3. Equipment was purchased at a cost of $102,070 and fully depreciated equipment costing $27,710 was discarded, with no salvage realized.
4. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty.
5. 9,000 shares of common stock were issued at $18 for cash.
6. Cash dividends declared and paid, $121,340.

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.

Yellow Dog Enterprises Inc.
Statement of Cash Flows
For the Year Ended December 31, 20Y8
Cash flows from (used for) operating activities:
Net income	$
Adjustments to reconcile net income to net cash flow from operating activities:
Depreciation
Changes in current operating assets and liabilities:
Decrease in accounts receivable
Increase in inventories
Increase in prepaid expenses
Increase in accounts payable
Net cash flow from operating activities		$
Cash flows from (used for) investing activities:
Cash paid for 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
Cash paid to retire mortgage note payable
Net cash flow used for financing activities
Net increase in cash		$
Cash balance, January 1, 20Y8
Cash balance, December 31, 20Y8		$