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Golden Corp., a merchandiser, recently completed its 2015 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The companys balance sheets and income statement follow.

GOLDEN CORPORATION Comparative Balance Sheets December 31, 2015 and 2014
	2015			2014
Assets
Cash	$	217,000		$	153,000
Accounts receivable		91,000			77,000
Inventory		627,000			539,000
Total current assets		935,000			769,000
Equipment		367,000			325,000
Accum. depreciationEquipment		(179,000	)		(117,000	)
Total assets	$	1,123,000		$	977,000
Liabilities and Equity
Accounts payable	$	93,000		$	84,000
Income taxes payable		48,000			38,000
Total current liabilities		141,000			122,000
Equity
Common stock, $2 par value		618,000			594,000
Paid-in capital in excess of par value, common stock		209,000			173,000
Retained earnings		155,000			88,000
Total liabilities and equity	$	1,123,000		$	977,000

GOLDEN CORPORATION Income Statement For Year Ended December 31, 2015
Sales				$	1,857,000
Cost of goods sold					1,099,000
Gross profit					758,000
Operating expenses
Depreciation expense	$	62,000
Other expenses		507,000			569,000
Income before taxes					189,000
Income taxes expense					25,000
Net income				$	164,000

Additional Information on Year 2015 Transactions
a.	Purchased equipment for $42,000 cash.
b.	Issued 12,000 shares of common stock for $5 cash per share.
c.	Declared and paid $97,000 in cash dividends.

Required:

Prepare a complete statement of cash flows; report its cash inflows and cash outflows from operating activities according to the indirect method. (Amounts to be deducted should be indicated with a minus sign.) GOLDEN CORPORATION Statement of Cash Flows For Year Ended December 31, 2015 Cash flows from operating activities Net Income Adjustments to reconcile net income to net cash provided by operations: Cash flows from investing activities: Cash flows from financing activities: Net increase (decrease) in cash Cash balance at beginning of year Cash balance at end of year

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