Comparative balance sheets for International Company are presented below.

Additional information:

1. Net income for 2017 was $135,000.

2. Cash dividends of $70,000 were declared and paid.

3. Bonds payable amounting to $50,000 were redeemed for cash $50,000.

4. Common stock was issued for $50,000 cash.

5. Depreciation expense was $24,000.

6. Sales revenue for the year was $978,000.

7. Land was sold at cost, and equipment was purchased for cash.

Instructions

Prepare a worksheet for a statement of cash flows for 2017 using the indirect method. Enter the reconciling items directly on the worksheet, using letters to cross-reference each entry.

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INTERNATIONAL COMPANY Comparative Balance Sheets December 31 Assets 2017 2016 $ 73,000 $ 22,000 76,000 189,000 100,000 200,000 (42,000) Cash Accounts receivable Inventory Land 85,000 180,000 75,000 Equipment Accumulated depreciation-equipment 250,000 (66,000) Total $597,000 $545,000 Liabilities and Stockholders' Equity $ 34,000 $ 47,000 Accounts payable Bonds payable Common stock ($1 par) Retained earnings 150,000 214,000 200,000 164,000 134,000 199,000 Total $597,000 $545,000