The statement of financial position of TorMax Technology Inc. at December 31, 2015 and 2014, is as follows:

An examination of the statement of income and the accounting records revealed the following additional information applicable to 2015:
a. Net income, $184,150.
b. Depreciation expense reported on the statement of income: buildings, $18,450; machinery and equipment, $8,100.
c. Patent amortization reported on the income statement, $5,000.
d. A building was constructed for $207,000.
e. A mortgage note for $80,000 was issued for cash. There is no current portion.
f. 5,000 common shares were issued at $28 per share in exchange for the bonds payable.
g. Cash dividends declared, $46,800.
Instructions
Prepare a statement of cash flows using the indirect method of presenting cash flows from operating activities.

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Dec. 31, 2015 Dec. 31, 2014 Assets $ 158,300 Cash. 2$ 128,900 211,500 Accounts receivable (net) Inventories.... Prepaid expenses Buildings . Accumulated depreciation-buildings. Machinery and equipment Accumulated depreciation-machinery and equipment.. 237,600 317,100 11,300 612,000 (166,500) 279,000 365,200 9,000 405.000 (148,050) 279,000 (76.500) 108,000 (68,400) 108,000 Land.... Patents 38,200 $1,518,500 43,200 $1.333,350 Liabilities and Shareholders' Equity $ 299.100 11,700 $ 331.100 9.000 Accounts payable (merchandise creditors)... Dividends payable... Salaries payable... Mortgage note payable, due 2020 Bonds payable.. Common shares ..... 28,200 31,100 80.000 140.000 203,000 63,000 Retained earnings. 896,500 759,150 $1,518,500 $1,333,350