Tamarisk, Inc. Comparative Balance Sheets December 31 Assets 2022 Cash $ 153,520 Accounts receivable 166,820 Inventory 213,750 Prepaid expenses 53,960 Long-term investments 262,200 Plant assets 541,500 Accumulated depreciation (95,000) Total $1,296,750 Liabilities and Stockholders' Equity Accounts payable $ 193,800 Accrued expenses payable 31,350 Bonds payable 209,000 Common stock 418,000 Retained earnings 444,600 Total $1,296,750 2021 $ 91,960 72,200 195,415 49,400 207,100 460,750 (98,800) $978,025 $ 127,870 39,900 277,400 332,500 200,355 $978,025 $738,074 Tamarisk, Inc. Income Statement Data For the Year Ended December 31, 2022 Sales revenue Less: Cost of goods sold $257,374 Operating expenses, excluding depreciation 23,579 Depreciation expense 88,350 Income tax expense 51,832 Interest expense 8,987 Loss on disposal of plant assets 14,250 Net income 444,372 $ 293,702 Additional information: 1. 2. 3. New plant assets costing $190,000 were purchased for cash during the year. Old plant assets having an original cost of $109,250 and accumulated depreciation of $92,150 were sold for $2,850 cash. Bonds payable matured and were paid off at face value for cash. A cash dividend of $49,457 was declared and paid during the year. 4. epare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign e.g.-15,000 parenthesis eg. (15,000).) Tamarisk, Inc Statement of Cash Flows For the Year Ended December 31, 2022 Cash Flows from Operating Activities 293,702 Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense 88,350 Loss on Disposal of Plant Assets 14,250 Increase in Accounts Receivable Increase in Inventory Increase in Prepaid Expenses Increase in Accounts Payable Decrease in Accrued Expenses Payable 65,930 42,465 Net Cash Provided by Operating Actlvities 336,167 Cash Flows from Investing Activities Purchase of Plant Assets Purchase of Investments Sale of Plant Assets Net Cash used by Investing Activities 2.850 24 Cash Flows from Financing Activities Payment of Cash Dividends Redemption of Bonds Sale of Common Stock Net Cash used by Financing Activities 85,500 Net Increase in Cash 61,560 Cash at Beginning of Perlod 91,960 Cash at End of Period 153,520