Use the above financial statements and additional information to prepare a statement of cash flows for the year ended December 31, 2018, using the indirect method. (Amounts to be deducted should be indicated by a minus sign.)

MONTGOMERY INC. Comparative Balance Sheets December 31, 2018 and 2017 Assets Cash Accounts receivable, net Inventory Total current assets Equipment Accum. depreciation-Equipment Total assets S 58,600 59,000 21,200 155,100 122,500 202,700 72,500 17,300 231,000 85,900 38,900) (26,800) $278,000 $248,400 Liabilities and Equity Accounts payable Salaries payable Total current liabilities Equity Common stock, no par value Retained earnings Total liabilities and equity S 41,400 44,500 1,000 45,500 800 42,200 181,100 39.600 21,800 $278,000 $248,400 196,200 MONTGOMERY INC. Income Statement For Year Ended December 31, 2018 Sales Cost of goods sold Gross profit Operating expenses $ 76,600 31.800 44,800 Depreciation expense $12,100 9,300 Other expenses Total operating expense Income before taxes Income tax expense 21,400 23,400 5,600 $ 17,800 Net income Additional Information a. No dividends are declared or paid in 2018 b. Issued additional stock for $15,100 cash in 2018 c. Purchased equipment for cash in 2018; no equipment was sold in 2018 1. Use the above financial statements and additional information to prepare a statement of cash flows for the year ended December 31 2018, using the indirect method. (Amounts to be deducted should be indicated by a minus sign.)