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The statement of financial position and the statement of comprehensive income for PWD Inc., a public company, for the years ended August 31, 2020 and 2019. are as follows: 2019 S 165.000 313,500 357,500 22.000 888,600 (385.000) $1,359,600 PWD Inc. Statement of financial position As at August 31 2020 Assets Cash $ 341.000 Accounts receivable - net 291,500 Inventory 422.400 Prepaid insurance 13,200 Property, plant, and equipment 1,012.000 Accumulated depreciation (286,000) Total assets $1,794,100 Liabilities and shareholders' equity Liabilities Accounts payable $ 387,100 Dividends payable 30,000 Bonds payable 275.000 Total liabilities $ 672.100 Shareholders' equity Common shares $ 880,000 Retained earnings 242,000 Total shareholders' equity 1,122,000 Total liabilities and shareholders' equity $1.794.100 S407,100 12.000 275.000 $ 694,100 S 550.000 115.500 685,500 $1.359.600 Intermediate Financial Reporting 1 Page 7 PWD Inc. Statement of comprehensive income For the year ended August 31, 2020 Sales $2,377,000 Cost of goods sold (1,196,800) Depreciation expense (130,000) Operating expenses (238,700) Interest expense (89.100) Income tax expense (45.000) Loss on sale of property, plant, and equipment (46.200 Net income and comprehensive income $ 630.300 *Equipment with an original cost of $286,000 was sold in early 2020. Required: Prepare the statement of cash flows of PWD Inc. for the year ended August 31, 2020, using the indirect method. (12 marks)

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