Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 2088, is as follows: Dec. 31, 2049 Dec. 31, 2048 Assets Cash $237,480 $219,380 Accounts receivable (net) 86,030 78,790 Inventories 242,860 233,300 Investments 0 90,380 Land 124,560 0 Equipment 267,950 206,250 Accumulated depreciation-equipment (62,730) (55,620) Total assets $896,150 $772,480 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $162,200 $152,180 Accrued expenses payable (operating expenses) 16,130 20,080 Dividends payable 8,960 6,950 Common stock, $10 par 48,390 37,850 Paid-in capital in excess of par-common stock 181,920 105,060 Retained earnings 478,550 450,360 Total liabilities and stockholders' equity $896,150 $772,480 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 $105,740 cash. d. The common stock was issued for cash. e. There was a $64,500 credit to Retained Earnings for net income. f. There was a $36,310 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, 2019 Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flow from operating activities: Depreciation 7,110 Gain 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 O 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 D DOD 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 $