Reference no: EM131699220

Statement of Cash Flows-Indirect Method

The comparative balance sheet of Mavenir Technologies Inc. for December 31, 2014 and 2013, is shown as follows:

	Dec. 31, 2014	Dec. 31, 2013
Assets
Cash	$279,730	$261,710
Accounts receivable (net)	101,340	94,000
Inventories	286,050	278,290
Investments	0	107,820
Land	146,730	0
Equipment	315,620	246,050
Accumulated depreciation-equipment	(73,890)	(66,350)
Total	$1,055,580	$921,520
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)	$191,060	$181,540
Accrued expenses payable (operating expenses)	19,000	23,960
Dividends payable	10,560	8,290
Common stock, $10 par	57,000	45,150
Paid-in capital in excess of par-common stock	214,280	125,330
Retained earnings	563,680	537,250
Total	$1,055,580	$921,520

The following additional information was taken from the records:

1. The investments were sold for $126,150 cash.

2. Equipment and land were acquired for cash.

3. There were no disposals of equipment during the year.

4. The common stock was issued for cash.

5. There was a $69,740 credit to Retained Earnings for net income.

6. There was a $43,310 debit to Retained Earnings for cash dividends declared.

Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash and for any adjustments, if required.