Use the following information of VPI Co to prepare a statement of cash flows for the year ended December 31 using the Indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash balance at prior year-end Increase in inventory Depreciation expense Cash received from issuing stock Cash paid for dividends $40,000 5,000 4,000 8,000 1,000 Gain on sale of machinery Cash received from sale of machinery Increase in accounts payable Net income Decrease in accounts receivable $ 2,000 9,500 1,500 23,000 3,000 23,000 VPI CO. Statement of Cash Flows (Indirect Method) For Current Year Ended December 31 Cash flows from operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Depreciation expense Gain on sale of machinery Increase in inventory Changes in current operating assets and liabilities $ 4,000 2,000 5,000 $ 34,000 Cash flows from investing activities Cash received from sale of machinery 9,500 9,500 Cash flows from financing activities 0 43,500 $ 43,500