Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 20Y8, is as follow! Dec. 31, 2019 Dec. 31, 2018 Assets Cash $305,020 $287,010 Accounts receivable (net) 110,500 103,080 Inventories 311,930 Investments 305,200 118,240 0 Land 159,990 0 344,160 Equipment Accumulated depreciation-equipment (80.570) $1.151,030 269,830 (72,760) $1,010,600 Total assets Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) 5208,340 $199,090 Accrued expenses payable (operating expenses) 20.720 26,280 Dividends payable 11,510 9,100 Common stock, 510 par 62,160 49,520 Paid-in capital in excess of par--common stock 233,660 137.440 Retained earnings 614,640 589.170 Total liabilities and stockholders' equity S1.151,030 $1.010.600 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 Additional data obtained from an examination of the accounts in the ledger for 2019 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 $138,340 cash. d. The common stock was issued for cash. e. There was a $72,970 credit to Retained Earnings for net income. f. There was a $47,500 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 them 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 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 Net cash flow from operating activities Cash flow 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 w 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 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 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 set increase in cash I cash balance January 1 2049 cat balance December 31, 2019