Vincent Corporation Income Statement Vincent Corporation Balance Sheet as at December 31,2016 and 2015 For the year ended December 31,2016 $ 700,000 (440.000) 260,000 (95.000) (22,000) (7.000) (5,000) 131000 -(10,000) 121.000 (36,000) 85.000 2016 2015 Wages and other operating expense 5 27,000 S18000 51,000 (10,000) (3,000) 109,000 10,000 403,000 386000 Accounts reccivable 63,000 Allowance for doubtful debts Operating income 103,000 12.000 Prepaid expenses Property. plant, and equipment (87,000) (84000) Net income $ 511000 487 000 Additional Information S 30,000 26,000 7,000 Interest payable Dividend payable Income tax payable Bonds payable Common stock Retained earnings 8,000 120.000 232,000 228.000 156,00098000 $ 511,000 487 000 3,000 25,000 5,000 60,000 During 2016, the company sold equipment that had oost $36,000 Also in 2016, new equipment worth $50,000 was acquired in exchange for bonds payable. Additional equipment purchase was made in cash Some of the bonds payable were repaid during the ycar Dividends were declared but not fully paid. During the year, the company issued common stock for cash. . (a)Using the indirect method, prepare a statement of cash flows for the year ended December31,2016. b)Using the direct method, re-prepare the operating activities section of the statement of cash flows for the vear ended December 31,2016. Usc one cash outflow for "payments for wages and other operating expenses." Accounts payable relate to inventory only