The operations of The Freida, a small lodging operation, are becoming more complex. Ms. Martin the owner, has asked for your help in preparing her statement of cash flows. She is able to present you with condensed balance sheets and some additional information.

The Freida
Condensed Balance Sheets
December 31, 20x1 and 20x2
	20x1	20x2
Cash	$10,000	$6,000
Accounts Receivable	26,500	25,500
Investments	10,000	5,000
Equipment	200,000	325,000
Accumulated Depreciation	(20,000)	(40,000)
Total Assets	$226,500	$321,500
Current Liabilities:
Accounts Payable	$18,000	$21,000
Mortgage Payable (current)	5,000	5,000
Dividends Payable	5,000	5,000
Noncurrent Liabilities:
Mortgage Payable (long-term)	75,000	70,000
Notes Payable	0	40,000
Common Stock	50,000	100,000
Retained Earnings	73,500	80,500
Total Liabilities and owners Equity	$226,500	$321,500

Additional information:

Equipment costing $20,000, depreciated to one half its cost, was sold for $8,000.

Common stock, purchased as a long-term investment for $5,000, was sold for $8,000.

Dividends declared during 20x2 totaled $7,000.

Equipment costing $145,000 was purchased during 20x2.

Depreciation expense for 20x2 totaled $30,000.

Long-term debt of $5,000 was reclassified as current at the end of 20x2.

Common stock of $50,000 was sold and long-term debt of $40,000 (note payable) was borrowed during 20x2.

The Freida generated net income of $14,000 during 20x2.

Q: prepare the SCF as requested by Ms. Martin using the indirect method.