To prepare the statement of cash flows, accountants for Franklin Electric Company have summarized 2016 activity in two accounts:

Franklin Electric's 2016 income statement and balance sheet data follow:

Requirements
1. Prepare the statement of cash flows of Franklin Electric Company for the year ended December 31, 2016, using the direct method to report operating activities. Also prepare the accompanying schedule of noncash investing and financing activities.
2. Use Franklin Electric's 2016 income statement and information from its selected balance sheet data to prepare a supplementary schedule of cash flows from operating activities by using the indirect method.

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Cash Beginning bal Sale of long-term investment 21,000 Payments of dividends 9,100 Payments on accounts payable 387,000 27,800 132,800 26,800 31,600 34,300 41,700 19,000 19,300 ns from customers 661,800 Payments of salaries and wages Issuance of common stock Receipts of dividends 47, 1001 Payments of interest 16,600 Purchase of equipment Payments of other operating expenses Payment of long-term note payable Purchase of treasury stock Payment of income tax Ending Bal 35,300 Common Stock Beginning bal Issuance for cash Issuance to acquire land 54,000 47,100 51,000 24,000 176,100 suance to retire note payable Ending bal A1 Franklin Electric Company Income Statement Year Ended December 31, 2016 2 Revenues: 3 Sales revenue 4Dividend revenue $ 691,800 16,600 708,400 Total revenue 6 Expenses and losses 7Cost of goods sold 8 Salary and wage expense 9 Depreciation expense 10Other operating expense 11Interest expense 12 Income tax expense 13 Loss on sale of investments 398,700 125,000 41,700 23,800 24,400 16,100 14 Total expenses and losses 631,100 15 Net income 16 A1 Franklin Electric Company Selected Balance Sheet Data December 31, 2016 Increase (Decrease Current assets 4 Cash and cash equivalents 5Accounts receivable 6 Inventories 26,200 30,000 (12,900 300) 51,000 10,100) 22,400 Prepaid expenses 8 Land 9 Equipment, net 101 Long-term investments 11 Current liabilities: 12 Accounts payable 13 |--Interestpayable 4Salary payable 5 Other accrued liabilities 16 Income tax payable 17 Long-term note payable 18 Common stock 19 Retained earnings 20 Treasury stock 21 (1,200) 2.400) 7,800) 10.800) 020010 65,700) 122.100 9.500