The comparative balance sheets of Posner Company, for Years 1 and 2 ended December 31, appear below in condensed form. Year 2 Year 1 Cash Accounts Receivable (net) Inventories $ 53,000 $50,000 37,000 48,000 108,500 100,000 Investments 70,000 Equipment 573,200 450,000 Accumulated Depreciation-Equipment (142,000) (176,000) $629,700 $542,000 Accounts Payable $ 62,500 $43,800 Bonds Payable, Due Year 2 100,000 Common Stock, $10 par 325,000 285,000 Paid-In Capital in Excess of Par-Common Stock 80,000 55,000 Retained Earnings 162,200 58,200 $629,700 $542,000 The income statement for the current year is as follows: Sales Cost of merchandise sold $625,700 340,000 Gross profit Operating expenses $285,700 Depreciation expense $ 26,000 Other operating expenses 68,000 94,000 Income from operationis $191,700 Other revenue and expense: Gain on sale of investment $4,000 Interest expense 6,000 Income before income tax (2.000) 1189,700 Income tax 60, 700 $129,000 Net income Additional data for the current year are as follows: a. Fully depreciated equipment costing $60,000 was scrapped, no salvage, and new equipment was purchased for $183,200 b. Bonds payable for $100,000 were retired by payment at their face amount c. 5,000 shares of common stock were issued at $13 for cash d. Cash dividends declared and paid, $25,000 Prepare a statement of cash flows using the indirect method of reporting cash flows from operating activities.Use the minus sign to indicate cash out flows, cash payments decreases in cash, or any negative adjustments, Posner Company Posner Company Statement of Cash Flows For the Year Ended December 31, Year 2 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: Not each Resend for finans Check My Work - 000 00 000 00 0 Q O Net cash flow used for financing activities Cash at the beginning of the year Cash at the end of the year