North Western Company provides the following financial information. Prepare a statement of cash flows for 2003, using the indirect method to report cash flows from operating activities.

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North Western Company Comparative Balance Sheets For the Years Ended December 31, 2003 and 2002 Assets Cash and cash equivalents Accounts receivable (net). Inventory. Plant and equipment (net) Total assets 2003 2002 $ 4,500 $ 9,000 33,000 36,000 75,000 60,000 262,500 225,000 $375,000 $330,000 Liabilities and Stockholders' Equity Accounts payable $ 60,000 $ 54,000 Capital stock. 225,000 217,500 Retained earnings 90,000 58,500 Total liabilities and stockholders' equity $375,000 $330,000 Sales Cost of goods sold. Gross margin. Operating expenses. Net income North Western Company Income Statement For the Year Ended December 31, 2003 $412,500 225,000 $187,500 135,000 $ 52,500 Note: Dividends of $21,000 were declared and paid during 2003. Depreciation expense for the year was $22,500.