The comparative balance sheets for Rain Company as of December 31 are presented below. Prepare a statement of cash flows for the year ended December 31, 2014, using the indirect method.

Rain Company Comparative Balance Sheets December 31
Assets	2014	2013
Cash	$ 81,000	$ 45,000
Accounts receivable	41,000	62,000
Inventory	151,450	142,000
Prepaid expenses	15,280	21,000
Land	105,000	130,000
Buildings	200,000	200,000
Accumulated depreciationbuildings	(60,000)	(40,000)
Equipment	221,000	155,000
Accumulated depreciationequipment	(45,000)	(35,000)
Total	$709,730	$680,000
Liabilities and Stockholders' Equity
Accounts payable	$ 47,730	$ 40,000
Bonds payable	260,000	300,000
Common stock, $1 par	200,000	160,000
Retained earnings	202,000	180,000
Total	$709,730	$680,000

Additional information:
1.	Operating expenses include depreciation expense of $42,000 and charges from prepaid expenses of $5,720.
2.	Land was sold for cash at book value.
3.	Cash dividends of $20,000 were paid.
4.	Net income for 2014 was $42,000.
5.	Equipment was purchased for $88,000 cash. In addition, equipment costing $22,000 with a book value of $10,000 was sold for $6,000 cash.
6.	Bonds were converted at face value by issuing 40,000 shares of $1 par value common stock.

Rain Company Statement of Cash Flows For the Year Ended December 31, 2014
Cash flows from operating activities
Net Income		42,000
Adjustment to Reconcile Net Income
Depreciation Expense
Loss on Disposal of Land
Decrease in Accounts Receivable
Decrease in Accounts Payable
Net Cash Provided by Operating Activities
Cash Flows from Investing Activities
Sale of Land
Purchase of Equipment
Cash flows from financing activities
Issuance of Common Stock
Payment of Dividends
Redemption of Bonds
Noncash Investing and Financing Activities
Conversion of Bonds by Issuance
Net Increase in Cash
Cash at beginning of period
Cash at end of Period