The following financial statements and additional information are reported. Additional Information a. A $30,000 note payable is retired at its $30,000 carrying (book) value in

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The following financial statements and additional information are reported.

Additional Information
a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash.
b. The only changes affecting retained earnings are net income and cash dividends paid.
c. New equipment is acquired for $57,600 cash.
d. Received cash for the sale of equipment that had cost $48,600, yielding a $2,000 gain.
e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement.
f. All purchases and sales of inventory are on credit.
Required
1. Prepare a statement of cash flows for the year ended June 30, 2015, using the indirect method.
2. Compute the company's cash flow on total assets ratio for its fiscal year 2015.

IKIBAN INC. Income Statement For Year Ended June 30, 2015 $678,000 411,000 267,000 Cost of goods sold Operating expenses Other expenses $58,600 67,000 Depreciation expense Other gains (losses) Gain on sale of equipment taxes expense IKIBAN INC. Comparative Balance Sheets June 30, 2015 and 2014 Accounts receivable, net 24,000 5,000 Accum. depreciation-Equipment $317,700 $292,900 Liabilities and Equity Notes payable (long term). Common stock, $5 par value Retained earnings Total liabilities and equity