The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 2078, is as follows: Dec 31, 2019 Dec 31, 2018 Assets Cash $290,920 $270,930 Accounts receivable (net) 105,390 97,310 Inventories 297,510 288,100 Investments 0 111,620 Land 152,590 0 Equipment 328,240 254,720 Accumulated depreciation-equipment (76,850) (68,690) Total assets $1,097,800 $953,990 $187,940 $198,700 19,760 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) Accrued expenses payable (operating expenses) Dividends payable Common stock, $10 par Paid-in capital in excess of par-cornmon stock Retained earnings 24,800 8,590 10,980 59,280 46,750 129,740 222,850 586,230 556,170 Additional data obtained from an examination of the accounts in the leder 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 $130,600 cash d. The common stock was issued for cash. e. There was a $74,900 credit to Retained Earnings for net income. 1. There was a $44,840 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 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, 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 101 II Torrance in aree enance navale 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 0 bobl di 8 I Net cash flow used for investing activities Cash flows from (used for financing activities: Net cash flow from financing activities INC Cash balance, January 1, 2019