Use the following information for Exciting Sporting Goods, Inc., to prepare a statement of cash flows using the indirect method: (Click the icon to view the balance sheets.) Additional information follows: a. Net income for the fiscal year ended December 31, 2010, was $194,000. b. The company declared and paid cash dividends. c. The company redeemed bonds payable amounting to $117,000 for cash of $117,000. d. The company issued common stock for $74,000 cash. Now prepare a statement of cash flows using the indirect method. Start with the operating activities, then complete the rest of the statement. (Use parentheses or minus signs to enter cash outflows or decreases in cash. Leave unused cells blank.) Exciting Sporting Goods Inc. Statement of Cash Flows For the Year Ended December 31, 2010 Cash from operating activities Add: Dedunt Cash from operating activities Add: Deduct: Net cash provided by operating activities epare a statement of cash flows using the indirect method: 94,000. or cash of $117,000. Cash collected from customers Cash paid for advertising Cash paid for rent Cash paid for salaries Cash paid for supplies Cash paid for taxes Increase in accounts receivable Decrease in inventories Decrease in accounts payable Depreciation expense Increase in prepaid advertising Increase in taxes payable Net income Payment of dividends Purchase of equipment Add: Deduct: Net cash provided by operating activities ZUTU ZUVY Assets: Current assets: Cash $ ......................... 389,400 128,400 319,900 122,000 Accounts receivable Inventories 245,000 350,100 Land .................. 242,000 Equipment Less: accumulated depreciation 190,900 511,000 (170,000) $ 1,294,700 349,000 (93,000) $ 1,290,000 Total assets $ 1,290,000 $ Total assets... $ 1,294,700 Liabilities and Stockholders' Equity: Accounts payable ..................... $ 85,600 Bonds payable ....... 324,000 Common stock and additional paid-capital 430,000 Retained earnings 455,100 Total liabilities and stockholders' equity ...... $ 1,294,700 107,000 441,000 356,000 386,000 $ 1,290,000