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Statement of Cash Flows-Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows: Dec. 31,

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Statement of Cash Flows-Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows: Dec. 31, Dec. 31, 208 20/ Assets Cash $52,880 $64,530 Accounts receivable (net) 81,250 86,990 Merchandise inventory 116,060 107,800 4,730 3,270 Prepaid expenses 193,170 236,430 Equipment (61,470) (47,370) Accumulated depreciation-equipment $429,880 $408,390 Total assets Liabilities and Stockholders' Equity $85,350 $90,270 Accounts payable (merchandise creditors) 122,520 0 payable Mortgage note 9,000 14,000 Common stock, $1 par 754 PM Paid-in capital: Excess of issue price over par-common stock 190,000 115,000 Retained earnings 135,610 76,520 Total liabilities and stockholders' equity $429,880 $408,390 Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows: a. Net income, $151,270. b. Depreciation reported on the income statement, $30,130. Equipment purchased at a cost of $59,290, and fully depreciated equipment costing $16,030 C. was was discarded, with no salvage realized d. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty. e. 5,000 shares of common stock were issued at $16 for cash. f. Cash dividends declared and paid, $92,180. Required: Prepare a statement of cash flows, using the indirect method. 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 operating activities: Adiustments to reconcile net income to net cash flow from operating activities 754 PM Adjustments to reconaile net income to net cash tlow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities Cash flows from (used for) investing activities: Net cash flow used for investing activities Cash flows from (used for) financing activities: Net cash flow used for financing activities Cash at the beginning of the year Cash at the end of the year 7:56 PM OO

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