You have completed the field work in connection with your audit of Glidden Barsema Corporation for the year ended December 31, 2020. The balance sheet accounts at the beginning and end of the year are shown below.
												Glidden Barsema Corporation
	Comparative Balance Sheet
										Increase
						12/31/2020		12/31/2019		(Decrease)
	Cash					$99,435		$110,700		($11,265)
	Accounts receivable					424,600		380,900		43,700
	Inventory					635,740		576,475		59,265
	Prepaid expenses					20,000		12,000		8,000
	Investment in subsidiary					200,000		0		200,000
	Cash surrender value of life insurance					16,460		14,850		1,610
	Land					100,000		100,000		0
	Buildings					525,000		400,000		125,000
	Equipment					381,000		290,000		91,000
	Patents (less amortization)					86,000		70,000		16,000
	Trademarks					25,000		35,000		(10,000)
	Bond discount and issue costs					1,165		6,075		(4,910)
	Total debits					$2,514,400		$1,996,000		$518,400
	Accounts payable					$534,000		$508,000		$26,000
	Income taxes payable					68,000		34,500		33,500
	Salaries and wages payable					73,500		12,900		60,600
	Allowance for doubtful accounts					25,000		23,000		2,000
	Accumulated depreciation-buildings					248,000		230,000		18,000
	Accumulated depreciation - equipment					160,000		103,000		57,000
	Long-term notes payable					75,000		75,000		0
	Bonds payable					400,000		300,000		100,000
	Premium on bonds payable					7,762		0		7,762
	Common stock					150,000		125,000		25,000
	Paid-in capital in excesso f par-common stock					568,000		418,000		150,000
	Retained earnings					205,138		166,600		38,538
	Total credits					$2,514,400		$1,996,000		$518,400
Your working papers from the audit contain the following information:
1. Net income for the year totaled $76,538.
2. A patent was purchased for $31,000.
3. Interest paid in 2020 was $31,000 and income taxes paid were $38,000.
4. On November 1, 2020, 25,000 shares of $1 par stock were sold for $175,000.
5. During the year, equipment that had a cost basis of $26,400 and on which there was accumulated
	depreciation of $5,800 was sold for $15,000. No other plant assets were sold during the year.
6. Repairs to buildings of $12,600 were charged to Accumulated DepreciationBuildings.
7. The 10%, $300,000, 40-year bonds were dated and issued on January2, 2007. Interest was payable
	on June 30 and December 31. They were sold originally at 97. These bonds were retired at 101
	plus accrued interest on May 31, 2020.
8. The 6%, $400,000 20-year bonds were dated January 1, 2020, and were sold on May 31 at 102
	plus accrued interest. Interest is payable semiannually on June 30 and December 31. Expense of
	issuance was $1,200.
9. Glidden acquired 60% control in Spider Company on January 2, 2020, for $146,000. The income
	statement of Spider Company for 2020 shows a net income of $90,000. Glidden credited income
	of 54,000 (60% of Spider Companys $90,000 net income), which did not provide Glidden any cash.

Required: Prepare a statement of cash flows using the indirect method from the information given.

Each student should submit the project individually on Blackboard by midnight Wednesday, May 4th, 2022. Show details and explanations for partial credits.