Statement of cash flowsindirect method

The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows:

Line Item Description	December 31, 20Y9	December 31, 20Y8
Assets
Cash	$70,720	$47,940
Accounts receivable (net)	207,230	188,190
Inventories	298,520	289,850
Investments	0	102,000
Land	295,800	0
Equipment	438,600	358,020
Accumulated depreciationequipment	(99,110)	(84,320)
Total assets	$1,211,760	$901,680
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)	$205,700	$194,140
Accrued expenses payable (operating expenses)	30,600	26,860
Dividends payable	25,500	20,400
Common stock, $1 par	202,000	102,000
Paid-in capital in excess of parcommon stock	354,000	204,000
Retained earnings	393,960	354,280
Total liabilities and stockholders' equity	$1,211,760	$901,680

Additional data obtained from an examination of the accounts in the ledger for 20Y9 are as follows:

Equipment and land were acquired for cash.

There were no disposals of equipment during the year.

The investments were sold for $91,800 cash.

The common stock was issued for cash.

There was a $141,680 credit to Retained Earnings for net income.

There was a $102,000 debit to Retained Earnings for cash dividends declared.

Required:

Prepare a statement of cash flows, using the indirect method of presenting cash flows from (used for) 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, 20Y9

Line Item Description	Amount	Amount
Cash flows from (used for) operating activities:
Cash paid for dividendsCash received from sale of common stockCash received from sale of investmentsLoss on sale of investmentsNet income	$- Select -
Adjustments to reconcile net income to net cash flows from (used for) operating activities:
Accumulated depreciationCash paid for dividendsCash received from sale of common stockDepreciationRetained earnings	- Select -
Cash paid for dividendsCash received from net incomeGain on sale of investmentsLoss on sale of investmentsRetained earnings	- Select -
Changes in current operating assets and liabilities:
Decrease in accounts receivableDecrease in accounts payableDecrease in inventoriesIncrease in accounts receivableLoss on sale of investments	- Select -
Decrease in accounts payableDecrease in accounts receivableDecrease in inventoriesIncrease in accrued expensesIncrease in inventories	- Select -
Decrease in accounts payableDecrease in accounts receivableDecrease in inventoriesIncrease in accounts payableLoss on sale of investments	- Select -
Decrease in accounts payableDecrease in accrued expenses payableDecrease in dividends payableIncrease in accrued expenses payableIncrease in land	- Select -
Net cash flows from financing activitiesNet cash flows from investing activitiesNet cash flows from operating activitiesNet cash flows used for investing activitiesNet cash flows used for operating activities		$- Select -
Cash flows from (used for) investing activities:
Cash received from gain on sale of investmentsCash received from loss on sale of investmentsCash received from retained earningsCash received from sale of common stockCash received from sale of investments	$- Select -
Cash paid for accounts payableCash paid for accumulated depreciationCash paid for depreciationCash paid for dividendsCash paid for purchase of land	- Select -	blank
Cash paid for accounts receivableCash paid for accumulated depreciationCash paid for inventoriesCash paid for purchase of equipmentCash paid for retained earnings	- Select -
Net cash flows from financing activitiesNet cash flows from investing activitiesNet cash flows from operating activitiesNet cash flows used for investing activitiesNet cash flows used for operating activities		- Select -
Cash flows from (used for) financing activities:
Cash received from net incomeCash received from retained earningsCash received from sale of common stockCash received from sale of inventoriesCash received from sale of investments	$- Select -
Cash paid for dividendsCash paid for purchase of equipmentCash paid for purchase of investmentsCash paid for purchase of landCash paid for retained earnings	- Select -
Net cash flows from financing activitiesNet cash flows from investing activitiesNet cash flows from operating activitiesNet cash flows used for financing activitiesNet cash flows used for investing activities		- Select -
Cash paid for dividendsCash received from sale of common stockNet decrease in cashNet increase in cashRetained earnings		$- Select -
Cash balance, January 1, 20Y9		Cash balance, January 1, 20Y9
Cash balance, December 31, 20Y9		$Cash balance, December 31, 20Y9