The following are comparative balance sheets for Vaughn Company.

Additional information: Additional information:

Net income for $2022$ was $$101,700.$

Depreciation expense was $$32,300.$

Cash dividends of $$40,600$ were declared and paid.

Bonds payable with a carrying value of $$55,000$ were redeemed for $$55,000$ cash.

Common stock was issued at par for $$42,600$ cash.

No equipment was sold during $2022.$

Land was sold for its book value.

Prepare a statement of cash flows for $2022$ using the indirect method. $($Show amounts that decrease cash flow with either $a-$ sign e$.$g$.$

$-15,000,$ or in parenthesis e$.$g$.(15,000).)$

VAUGHN Company

Statement of Cash Flows

December $31,2022$

Cash Flows from Operating Activities

$

Adjustments to reconcile net income to Adjustments to reconcile net income to

Cash Flows from Operating Activities

$

$1$

$1$

$1$The following are comparative balance sheets for Vaughn Company.

VAUGHN Company

Comparative Balance Sheets

December $31$

Assets $20222021$

Cash $$73,300$ $$32,900$

Accounts receivable $85,80070,600$

Inventory $169,600187,200$

Land $72,900101,200$

Equipment $259,800200,700$

Accumulated depreciation$$equipment $(65,800)(33,500)$

Total $$595,600$ $$559,100$

Liabilities and Stockholders$$ Equity

Accounts payable $$35,100$ $$47,300$

Bonds payable $148,000203,000$

Common stock $($$$1$ par$)215,200172,600$

Retained earnings $197,300136,200$

Total $$595,600$ $$559,100$ Additional information:

$1.$ Net income for $2022$ was $$101,700.$

$2.$ Depreciation expense was $$32,300.$

$3.$ Cash dividends of $$40,600$ were declared and paid.

$4.$ Bonds payable with a carrying value of $$55,000$ were redeemed for $$55,000$ cash.

$5.$ Common stock was issued at par for $$42,600$ cash.

$6.$ No equipment was sold during $2022.$

$7.$ Land was sold for its book value.

Prepare a statement of cash flows for $2022$ using the indirect method.