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Statement of Cash Flows—Indirect Method

The comparative balance sheet of Merrick Equipment Co. forDecember 31, 20Y9 and 20Y8, is as follows:

		Dec. 31, 20Y9		Dec. 31, 20Y8
Assets
Cash		$236,660		$218,630
Accounts receivable (net)		85,730		78,520
Inventories		242,020		232,490
Investments		0		90,070
Land		124,140		0
Equipment		267,020		205,540
Accumulated depreciation—equipment		(62,510)		(55,430)
	Total assets	$893,060		$769,820
Liabilities and Stockholders'Equity
Accounts payable		$161,640		$151,650
Accrued expenses payable		16,080		20,020
Dividends payable		8,930		6,930
Common stock, $10 par		48,230		37,720
Paid-in capital: Excess of issue price overpar-common stock		181,290		104,700
Retained earnings		476,890		448,800
	Total liabilities and stockholders’ equity	$893,060		$769,820

Additional data obtained from an examination of the accounts inthe ledger for 20Y9 are as follows:

1. Equipment and land were acquired for cash.
2. There were no disposals of equipment during the year.
3. The investments were sold for $81,060 cash.
4. The common stock was issued for cash.
5. There was a $64,270 credit to Retained Earnings for netincome.
6. There was a $36,180 debit to Retained Earnings for cashdividends declared.

Required:

Prepare a statement of cash flows, using the indirect method ofpresenting cash flows from operating activities. Use the minus signto indicate cash outflows, cash payments, decreases in cash, or anynegative adjustments.