You have completed the field workin connection with your audit of Wildhorse Corporation for the year ended December 31,2025. The balance sheet accounts at the beginning and end of the year are shown below. Incometaxes payable Accounts payable Dividends payable \begin{tabular}{l|l|l} 71.400 & 0 & 71.400 \end{tabular} Bonds payable 8% \begin{tabular}{l|l|l} 127.500 & 0 & 127.500 \end{tabular} Bonds payable-12\% Allowance for doubtful accounts Accumulated depreciation-buildings Accumulated depreciation-machinery Premium on bonds payable \begin{tabular}{l|l|l|l|l} Common stock-no par & 1.199 .724 & 1.482,264 & (282.540) \\ Paid-in capital in excess of par-common stock & 111.180 & 0 & 111.180 \\ Retained earnings-unappropriated & 20.400 & (459.000) & 479.400 \\ \hline$2.572.470 & $2.075.904 & $496.566 \\ \hline \end{tabular} Statement of Retained Earnings For the Year Ended December 31, 2025 January1,2025Balance(deficit)$(459.000) March31,2025Netincomeforfirstquarterof202525,500 April 1,2025 Transfentrom paid-in capital Balance 0433,500 December 31,2025 Netincome for last threequarters of 202591,800 Your working papers from the audit contain the following information: 1. On April 1, 2025, the existing deficit was written off against paid-in capital created by reducing the stated value of the no-par stock 2. On November 1, 2025, 30,192 shares of no-par stock were sold for $262,140. The board of directors voted to regard $5 per share as stated capital. 3. A patent was purchased for $15,300. 4. During the year, machinery that had a cost basis of $16,728 and on which there was accumulated depreciation of $5,304 was sold for $9.180. No other plant assets were sold during the year. 5. The 12\%, 20-year bonds were dated and issued on January 2, 2013. Interest was payable on June 30 and December 31 . They were sold originally at 106. These bonds were redeemed at 100.9 plus accrued interest on March 31. 2025. 6. The 8\%, 40-year bonds were dated January 1, 2025, and were sold on March 31 at 97 plus accrued interest. Interest is payable semiannually on June 30 and December 31 . Expense of issuance was $856. 7. Wildhorse Corporation acquired 70% control in Crimson Company on January 2, 2025, for 5102,000 . The income statement of Crimson Company for 2025 shows a net income of $15,300 8. Major repairs to buildings of $7.344 were charged to Accumulated Depreciation-Buildings 9. Interest paid in 2025 was $10,710 and income taxes paid were $34,680. From the information given, prepare a statement of cash flows using the indirect method. A worksheet is not necessary, but the principal computations should be supported by schedules or general ledger accounts. The company uses straight-line amortization for bond interest. (Round answers to 0 decimol ploces es 2500 . Show amounts that decrease cach flow with either a-sien ea -15 mnn ar in
