Statement of Cash Flows-Indirect Method The following balances are available for Chrisman Company: December 31 2017 $14,800 37,000 29,400 16,700 138,800 740,000 (120,300) $856,400 2016 $18,500 27,800 49,100 11,100 Cash Accounts receivable Inventory Prepaid rent Land Plant and equipment Accumulated depreciation Totals 138,800 555,000 (55,500) $744,800 Accounts payable Income taxes payable Short-term notes payable Bonds payable Common stock Retained earnings Totals $22,200 5,600 64,800 139,000 370,000 254,800 $856,400 $18,500 9,300 46,300 185,000 277,500 208,200 $744,800 Bonds were retired during 2017 at face value, plant and equipment were acquired for cash, and common stock was issued for cash. Depreciation expense for the year was $64,800. Net income was reported at $46,600. 1. Prepare a statement of cash flows for 2017 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash. Chrisman Company Statement of Cash Flows For the Year Ended December 31, 2017 Cash Flows from Operating Activities Adjustments to reconcile net income to net cash provided by operating activities: Cash Flows from Investing Activities Cash Flows from Financing Activities $ Cash balance, December 31, 2016 Cash balance, December 31, 2017 2. Based on its statement of cash flows, Chrisman In addition to operating activities, Chrisman generated cash