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 Current Year Previous ear Balance Sheet at December 31 Cash Accounts Receivable Inventory Equipment Accumulated Depreciation-Equipment $ 33,300 28,250 27,500 37,500 95,000 (29,000) (24,500) 34,000 40,000 113,500 $191,800 $163,750 Accounts Payable Salaries and Wages Payable Note Payable (long-term) Common Stock Retained Earnings $ 35,000 1,500 33,500 85,600 36,200 26,500 1,650 39,000 72,100 24,500 $191,800 $163,750 Income Statement Sales Revenue Cost of Goods Sold Other Expenses $115,000 67,500 35,800 Net Income $11,700 Additional Data a. Bought equipment for cash, $18,500 b. Paid $5,500 on the long-term note payable c. Issued new shares of stock for $13,500 cash d. No dividends were declared or paid e. Other expenses included depreciation, $4,500; Salaries and wages, $19,500; taxes, $5,500; utilities $6,300 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: Cash Flows from Investing Activities Cash Flows from Financing Activities