The following financial statements and additional information are reported.

IKIBAN INC. Comparative Balance Sheets June 30, 2017 and 2016
	2017				2016
Assets
Cash	$	102,100			$	53,000
Accounts receivable, net		78,500				60,000
Inventory		72,800				100,000
Prepaid expenses		5,300				7,200
Total current assets		258,700				220,200
Equipment		133,000				124,000
Accum. depreciationEquipment		(31,500	)			(13,500	)
Total assets	$	360,200			$	330,700
Liabilities and Equity
Accounts payable	$	34,000			$	43,500
Wages payable		6,900				16,800
Income taxes payable		4,300				5,600
Total current liabilities		45,200				65,900
Notes payable (long term)		39,000				69,000
Total liabilities		84,200				134,900
Equity
Common stock, $5 par value		238,000				169,000
Retained earnings		38,000				26,800
Total liabilities and equity	$	360,200			$	330,700

IKIBAN INC. Income Statement For Year Ended June 30, 2017
Sales				$	723,000
Cost of goods sold					420,000
Gross profit					303,000
Operating expenses
Depreciation expense	$	67,600
Other expenses		76,000
Total operating expenses					143,600
					159,400
Other gains (losses)
Gain on sale of equipment					2,900
Income before taxes					162,300
Income taxes expense					44,790
Net income				$	117,510

Additional Information

1. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash.
2. The only changes affecting retained earnings are net income and cash dividends paid.
3. New equipment is acquired for $66,600 cash.
4. Received cash for the sale of equipment that had cost $57,600, yielding a $2,900 gain.
5. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement.
6. All purchases and sales of inventory are on credit.

(1) Prepare a statement of cash flows for the year ended June 30, 2017, using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)

IKIBAN, INC. Statement of Cash Flows (Indirect Method) For Year Ended June 30, 2017 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash balance at prior year-end Cash balance at current year-end