The following information is available for Kennington Company in closing its books for 2020. Using this information, prepare Kennington's

Statement of Cash Flows for 2020 using the indirect method.

20202019

Cash 14,0005,600

Accounts receivable, net 28,70018,130

Short-term investments 30,80042,000

Inventory 58,80049,000

Prepaid rent 4,20016,800

Prepaid insurance 2,9401,260

Supplies 1,4001,050

Land 175,000245,000

Buildings 490,000490,000

Accumulated depreciationbuildings(147,000)(122,500)

Equipment 735,000560,000

Accumulated depreciationequipment(182,000)(156,800)

Patents, net 63,00070,000

Total assets 1,274,8401,219,540

Accounts payable 30,80044,800

Income taxes payable 7,0005,600

Salaries and wages payable 7,0004,200

Short-term notes payable 14,00014,000

Long-term notes payable 84,00098,000

Bonds payable 560,000560,000

Premium on bonds payable 28,42036,190

Common stock 336,000308,000

Paid-in capital in excess of parcommon stock 35,00024,500

Retained earnings 172,620124,250

Total liabilities and stockholders' equity 1,274,8401,219,540

Sales revenue1,624,000

Cost of goods sold 1,047,200

Gross margin 576,800

Operating expenses

Selling expenses 110,880

Administrative expenses 219,380

Depreciation/Amortization expense 56,700

Total operating expenses 386,960

Income from operations 189,840

Other revenues/expenses

Gain on sale of land 11,200

Gain on sale of short-term investment 5,600

Dividend revenue3,360

Interest expense(72,450)(52,290)

Income before taxes 137,550

Income tax expense 55,160

Net income 82,390