XS Supply Company is developing its annual financial statements at December 31. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized: Balance Sheet at December 31 Cash Accounts Receivable: Inventory Equipment Accumulated Depreciation-Equipment Total Assets Current Year Previous Year $ 32,090 33,200 39,200 107,500 (28,200) $183,790 $ 27,000 27,100 Accounts Payable $ 34,200 37,100 91,000 (24,100) $158,100 $ 26,100 Salaries and Wages Payable 1,090 1,200 Notes Payable (long-term) 29,900 35,000 Common Stock 83,200 71,700 Retained Earnings 35,400 24,100 Total Liabilities and Stockholders' Equity $183,790 $ 158,100 Service Revenue $111,000 65,500 34,200 $ 11,300 Income Statement Cost of Goods Sold Other Expenses Net Incone Additional Data: a. Bought equipment for cash, $16,500. b. Paid $5,100 on the long-term notes payable. c. Issued new shares of stock for $11,500 cash. d. No dividends were declared or paid. e. Other expenses included depreciation, $4,100; salaries and wages, $19,100; taxes, $5,100; utilities, $5,900. f Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash. Required: 1. Prepare the statement of cash flows for the current year ended December 31 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) XS SUPPLY COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities: Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: Changes in Current Assets and Current Liabilities Cash Flows from Investing Activities: Cash Flows from Financing Activities: Check