The comparative balance sheets and income statements for Finch Company follow Balance Sheets As of December 31 Year 2 Year 1 Assets Cash Accounts receivable Inventory Equipment $ 23,935 2,033 6,269 21,689 $ 2,504 1,220 Accumulated depreciation-equipment (7,214) 5,877 44,659 (15,265) Land 19,156 10,256 Total assets $65,868 $49,251 Liabilities and equity Accounts payable (inventory) $2,769 $ 4,474 Long-term debt 3,014 6,890 Common stock 24,600 11,000 Retained earnings 35,48% 26,887 Total liabilities and equity $ 65,868 $49,251 Income Statement For the Year Ended December 31, Year 2 Sales revenue Cost of goods sold Gross margin Depreciation expense Operating income Gain on sale of equipment Loss on disposal of land Net income $ 33,730 (13,369) 20, 361 (3,615) 16,746 550 (100) $ 17,196 Additional Date 1. During Year 2, the company sold equipment for $18.984; it had originally cost $30,100. Accumulated depreciation on this equipment was $11,666 at the time of the sale. Also, the company purchased equipment for $7130 cash. 2. The company sold land that had cost $4,700. This land was sold for $4,600, resulting in the recognition of a $100 loss. Also, common stock was issued in exchange for title to land that was valued at $13,600 at the time of exchange. 3. Paid dividends of $8,598. Required Prepare a statement of cash flows using the Indirect method. (Amounts to be deducted and cash outflows should be indicated by a minus sign) FINCH COMPANY Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities: Less: Increase/Decrease in current assets and current liabilities Plus: Noncash charges Cash flows from investing activities: Cash flows from financing activities: Ending cash balance Share of ssh inaction and finanninn stitias Cash flows from operating activities: Less: Increase/Decrease in current assets and current liabilities: Plus: Noncash charges Cash flows from investing activities: Cash flows from financing activities: Ending cash balance Schedule of noncash investing and financing activities