The income statement for the current year is as follows:

Operating expenses:

Depreciation expense

Other operating expenses

Total operating expenses

Operating income

Other revenue and expense:

Gain on sale of investment

Interest expense

Income before income tax

Income tax expense

Net incone

$$26,000$

$68,000$

$\frac{(94,000)}{\text{\$}191,700}$

$$4,000$

$(6,000)$

Additional data for the current year are as follows:

Fully depreciated equipment costing $$60,000$ was scrapped, no salvage, and new equipment was purchased for $$183,200.$

Bonds payable for $$100,000$ were retired by payment at their face amount.

$5,000$ shares of common stock were issued at $$13$ for cash.

Cash dividends declared and paid, $$25,000.$

Prepare a statement of cash flows, using the indirect method of reporting cash flows from $($used for$)$ operating activities. Use the minus sign to indicate cash out flows, c

Posner Company

Statement of Cash Flows

For the Year Ended December $31,$ Year $2$

Line Item Description

Amount Amount

Cash flows from $($used for$)$ operating activities:

$(.$

Adjustments to reconcile net income to net cash flows from $($used for$)$ operating activities:

$?$

Changes in current operating assets and liabilities:

$$

Net cash flows from operating activities

Cash flows from $($used for$)$ investing activities: