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The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows: Dec. 31, 20Y8 Dec. 31, 20Y7 Assets

The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows:

Dec. 31, 20Y8 Dec. 31, 20Y7
Assets
Cash $87,110 $106,750
Accounts receivable (net) 133,850 143,910
Inventories 191,210 178,360
Prepaid expenses 7,790 5,410
Equipment 389,520 319,570
Accumulated depreciation-equipment (101,270) (78,370)
Total assets $708,210 $675,630
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors) $148,720 $141,210
Mortgage note payable 0 202,690
Common stock, $1 par 22,000 14,000
Paid-in capital: Excess of issue price over par-common stock 311,000 191,000
Retained earnings 226,490 126,730
Total liabilities and stockholders equity $708,210 $675,630

Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows:

  1. Net income, $255,390.
  2. Depreciation reported on the income statement, $49,420.
  3. Equipment was purchased at a cost of $96,470, and fully depreciated equipment costing $26,520 was discarded, with no salvage realized.
  4. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty.
  5. 8,000 shares of common stock were issued at $16 for cash.
  6. Cash dividends declared and paid, $155,630.

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash out flows, 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:
$
Adjustments to reconcile net income to net cash flow from operating activities:
Changes in current operating assets and liabilities:
Net cash flow from operating activities $
Cash flows from investing activities:
$
Net cash flow used for investing activities
Cash flows from financing activities:
$
Net cash flow used for financing activities
$
Cash at the beginning of the year
Cash at the end of the year $

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