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Comparative Balance Sheets December 31 Assets 2022 Cash $ 56,000 Accounts receivable 32,000 Inventory 44,800 Property, plant, and equipment 96,000 Accumulated depreciation (51,200 ) Total $177,600 2021 $ 32,000 22,400 32,000 124,800 (38,400 $172,800 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $ 30,400 11,200 27,200 28,800 80,000 $177,600 $ 24,000 12,800 52,800 22,400 60,800 $172,800 $387,200 280,000 107,200 Sage Hill Company Income Statement For the Year Ended December 31, 2022 Sales revenue Cost of goods sold Gross profit Selling expenses $28,800 Administrative expenses 9,600 Income from operations Interest expense Income before income taxes Income tax expense 38,400 68,800 4,800 64,000 12,800 Net income $ 51,200 Additional data: : 1. Depreciation expense was $28,000. 2. Dividends declared and paid were $32,000. 3. During the year equipment was sold for $13,600 cash. This equipment cost $28,800 originally and had accumulated depreciation of $15,200 at the time of sale. Further analysis reveals the following. 1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash. 3 All depreciation expense is in the selling expense category. 4. All sales and purchases are on account. | Your answer is partially correct. Try again. . Prepare a statement of cash flows for Sage Hill Company using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a - sign e.g.-15,000 or in parenthesis e.g. (15,000).)

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