The income statement, balance sheets, and additional information for Great Adventures, Inc., are provided below.

Additional Information for 2020:

1. Borrowed $550,000 in January 2020. Made 12 monthly payments during the year, reducing the balance of the loan by $37,704.

2. Issued common stock for $1,200,000.

3. Purchased 10,000 shares of treasury stock for $13 per share.

4. Reissued 5,000 shares of treasury stock at $14 per share.

5. Declared and paid a cash dividend of $125,000.

Required:

Prepare the statement of cash flows for the year ended December 31, 2020, using the indirect method.

GREAT ADVENTURES, INC Income Statement For the Year Ended December 31, 2020 Revenues 553,000 128,000 Service revenue (clinic, racing, TEAM) Sales revenue (MU watches) Total revenues Expenses $ 681,000 75,000 304,776 55,000 30,224 60,000 Cost of goods sold (watches) Operating expenses Depreciation expense Interest expense Income tax expense Total expenses 525,000 Net income S 156,000