The 2017 and 2016 balance sheets of West Corporation follow. The 2017 income statement is also provided. West had no noncash investing and financing transactions during 2017. During the year, the company sold equipment for $15,700, which had onginally cost $13 200 and had a book value of $11.200. The company did not issue any noles payable during the year but did issue cominan slock for S29,000. The company purchased plant assets and long term investments with cash. Click the icon to view the income statement.) (Click the icon to view the balance sheets.) Requirements 1. Prepare the statement of cash flows for West Corporation for 2017 using the indirect method. 2. Evaluate the company's cash flows for the year. Discuss each of the categaries of cash flows in your response. Requirement 1. Prepare the statement of cash flows for West Corporation for 2017 using the indirect method. Prepare the statement one section at a time. (Use parentheses or a minus sign for numbers to be subtracted or for a net cash outflow.) West Corporation Statement of Cash Flows (Indirect Method) For the Year Ended December 31, 2017 Operating Activities: Adjustments to reconcile net income to cash basis: III III III Net cash pravided by used for) operating activities Investing Activities: Net cash provided by (used for) investing activities Financing Activities: Net cash provided by (used for) financing activities Net cash provided by (used for) financing activities Net increase (decrease) in cash Cash, beginning of the year Cash, end of the year Requirement 2. Evaluate the company's cash flows for the year. Discuss each of the categories of cash flows in your response. West Corporation's cash flows look They had provided by operating activities. The investing activities some cash. These activities included The financing activities cash Vand The corporation also t received used from dividend revenue to pay dividends and from issuing long-term debt to pay down long-term debt V. The cor issued some additional common stock purchased treasury stock West Corporation Income Statement For the Year Ended December 31, 2017 Sales revenues $ 343,000 74,000 $ 269,000 Less: Cost of goods sold Gross profit Less operating expenses: Salaries and wages expense Depreciation expense $ $ 26,500 5,200 12,500 Other operating expenses 44,200 $ 224,800 Total operating expenses Operating income Plus other income and less other expenses: Interest expense 9,800 4,500 Gain on sale of PP&E 5,300 Total other income and expenses Income before income taxes Less: Income tax expense 219,500 36,500 $ 183,000 Net income West Corporation Comparative Balance Sheets December 31, 2017 and 2016 Assets 2017 2016 Current assets: Cash $ 52,000 $ 20,000 Accounts receivable Inventory 32,100 86,500 3,500 29,900 93,500 2,500 Prepaid insurance Total current assets $ 174,100 $ 145,900 Property, plant, and equipment 154,000 (30,600) 113,000 137,000 (27,400) Less: Accumulated depreciation Investments 0 $ Total assets 410,500 $ 255,500 Liabilities Current liabilities: Accounts payable $ 33,700 $ 36,400 3,300 7,000 Wages payable Interest payable Income taxes payable 2,800 0 5,800 0 Other accrued expenses payable 18,600 22,400 Liabilities Current liabilities: Accounts payable $ 36,400 33,700 $ 3,300 7,000 Wages payable Interest payable 2,800 0 Income taxes payable 0 5,800 18,600 Other accrued expenses payable 22,400 Total current liablities $ $ 64,200 $ 65,800 78,000 112,000 Long-term liabilities Total liabilities $ 142,200 $ 177,800 Stockholders' equity Common stock $ 103,000 $ 165,300 74,000 3,700 Retained earnings $ Total stockholders' equity $ 268,300 $ 77,700 $ Total liabilities and equity 410,500 $ 255,500