The following are the financial statements of Blue Spruce Corp.. Blue Spruce Corp. Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Equipment Accumulated depreciation-equipment Total 2019 2018 $36,900 $20,800 32,800 18,100 29,300 20,700 59,400 77,700 (29,300) (23,500) $129,100 $113,800 Liabilities and Stockholders' Equity Accounts payable $28,400 $16,600 Income taxes payable 7,000 8,000 Bonds payable 26,400 33,900 Common stock 18,100 14,900 Retained earnings 49,200 40,400 Total $129,100 $113,800 Blue Spruce Corp. Income Statement For the Year Ended December 31, 2019 Sales revenue $242,600 Cost of goods sold 176,600 Gross profit 66,000 Operating expenses 24,400 Income from operations 41,600 Interest expense 2,400 Income before income taxes 39.200 Income tax expense 7,900 Net income $31,300 Additional data: 1. Dividends declared and paid were $22,500. 2. During the year, equipment was sold for $9,600 cash. This equipment cost $18,300 originally and had a book value of $9,600 at the time of sale. 3. All depreciation expense, $14,500, is in the operating expenses. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign eg.-15,000 or in parenthesis eg. (15,000).) Blue Spruce Corp. Statement of Cash Flows For the Year Ended December 31, 2019 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense: Increase in Accounts Receivable Decrease in Inventory 14500 -14700 8600 Sale of Eouloment 9600 Decrease in Accounts Pavable 11800 31300 Decrease in Accounts Pavable Net Cash Provided by Operating Activities Cash Flows from Investing Activities Purchase of Equioment Cash Flows from Financing Activities Payment of Dividends Redemption of Bonds Issuance of Common Stock Net Cash Used by Financing Activities Net Increase in Cash 11800 22500 -7500 8800 12600 43900 18300 -21200 Payment of Dividends Redemption of Bonds Issuance of Common Stock Net Cash Used by Financing Activities Net Increase in Cash Cash at Beginning of Period Cash at End of Period -22500 -7500 8800 -21200 20800