The financial statements for Wilkerson Corporation follow. Additional information contained in the records revealed that equipment, having a cost of $ 37,600 and accumulated depreciation of $ 28,480, was sold for $ 14,400 cash. Also, 3,760 shares of common stock having a par value of $ 10 per share were sold for $ 43,200 cash.

Wilkerson Corporation
Comparative Balance Sheet
December 31, 2013 and December 31, 2012

Required
Prepare a statement of cash flows for 2013 using the indirect method of presenting cash flows from operatingactivities.

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Wilkerson Corporation Income Statement For Year Ended December 31, 2013 Revenue from Sales: Sales Less Sales Returns and Allowances Nat Sales $709,512 8,624 $700,888 Cost of Goods Sold: Morchandise Inventory, January 1.2013 Delivered Cost of Purchasee Cost of Goods Available for Sale Less Marchandise Inventory, December 31, 2013 Cost of Goods Sold $282,096 504,608 $786,704 304,072 482,632 Gross Profit $218 256 Operating Expenses: Salary Expense Rent Expense Advertising Expense Depreciation Expense, Equipment Insurance Expense Miscellaneous Expense s 81,992 14.400 5,120 17,728 2,168 736 Total Operating Expenses 122,144 $ 96,112 Income from Operations Other Income Intarest Inoome Gain on Disposal of Property and Equipment Total Other Income 376 5,280 $ 5,656 Other Exponses: Interest Expense Income Before Income Taxes Income Tax Expense Net Income 5400 $101,512 30,936 70.576 256 Wilkerson Corporation Statement of Retained Eamings For Yoar Ended December 31, 2013 Retained Eamings, January 1, 2013 Net Income Less: Cash Dividends Declared Increase in Retained Earnings Retained Eamings, December 31, 2013 s 82,792 $70,575 42400 28,178 $110.968 Inorease or Decrease) 2013 2012 Assets Cash Notes Receivable Accounts Receivable (net Merchandise Inventory Prepaid Advertising Prepaid Insurance Equipment 19,840 5,392 2,298 50,888 304072 282,096 768 168 176.296 213,890 (62,024) (72.776) 14.448 0 59,048 21,976 224 176 (37600) 10,752 $549.456$482,72866,728 109.936 992 Less Accumulated Depreciation Total Assets Liabllities $ (5.280) 2.128 (560) Notes Payable Accounts Payable Salaries Payable Income Tax Payable Dividends Payablo Interest Payable Total Liabilities $ 2080 S7.360 63,456 2,320 4,208 3,576 208 76,480 81,128(4,648) 65.584 1,780 3,864 3.160 32 (416) (176) Stockholders' Equity Common Stock Paid-in Capital in Excess of Par Value Retained Earmings Total Stockholders Equity Total Liabilities and Stockhoiders Equity $343608$306,008 12,800 82,792 $472976 $401.600 37600 5,600 28,170 $ 71,375 $549.456 $482,728 66,728 18.400 110,968