The management team of Wickersham Brothers Inc. is preparing its annual financial statements. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statements are summarized.

	Current Year				Prior Year
Balance Sheet
Assets
Cash	$	120,900			$	138,300
Accounts receivable		148,000				129,500
Merchandise inventory		111,000				120,250
Property and equipment		212,000				111,000
Less: Accumulated depreciation		(61,680	)			(32,000	)
Total assets	$	530,220			$	467,050
Liabilities:
Accounts payable	$	18,500			$	22,200
Salaries and Wages Payable		3,700				1,850
Notes payable, long-term		92,500				111,000
Stockholders Equity:
Common stock		168,000				148,000
Retained earnings		247,520				184,000
Total liabilities and stockholders equity	$	530,220			$	467,050
Income Statement
Sales	$	540,000
Cost of goods sold		280,000
Depreciation expense		29,680
Other expenses		135,000
Net income	$	95,320

Other information from the companys records includes the following:

• Bought equipment for cash, $101,000.
• Paid $18,500 on long-term note payable.
• Issued new shares of common stock for $20,000 cash.
• Cash dividends of $31,800 were declared and paid to stockholders.
• Accounts Payable arose from inventory purchases on credit.
• Income tax expense ($23,830) and interest expense ($5,550) were paid in full at the end of both years and are included in Other Expenses.

Required:

1. Prepare the statement of cash flows using the indirect method. Include any supplemental disclosures. (Enter any deductions and cash outflows as a negative value.)