Reference no: EM13584302

The following are Sullivan Corp.'s comparative balance sheet accounts at December 31, 2014 and 2013, with a column showing the increase (decrease) from 2013 to 2014.

COMPARATIVE BALANCE SHEETS
		2014			2013			Increase (Decrease)
Cash		$815,120			$700,410			$114,710
Accounts receivable		1,128,400			1,168,300			(39,900	)
Inventory		1,850,700			1,714,800			135,900
Property, plant, and equipment		3,306,600			2,966,600			340,000
Accumulated depreciation		(1,164,700	)		(1,039,700	)		(125,000	)
Investment in Myers Co.		310,870			275,060			35,810
Loan receivable		250,210			-			250,210
Total assets		$6,497,200			$5,785,470			$711,730
Accounts payable		$1,014,100			$955,400			$58,700
Income taxes payable		29,080			50,880			(21,800	)
Dividends payable		80,930			99,860			(18,930	)
Lease liabililty		400,950			-			400,950
Common stock, $1 par		500,100			500,100			-
Paid-in capital in excess of par-common stock		1,499,100			1,499,100			-
Retained earnings		2,972,940			2,680,130			292,810
Total liabilities and stockholders' equity		$6,497,200			$5,785,470			$711,730

Additional information:

1.		On December 31, 2013, Sullivan acquired 25% of Myers Co.'s common stock for $275,060. On that date, the carrying value of Myers's assets and liabilities, which approximated their fair values, was $1,100,240. Myers reported income of $143,240 for the year ended December 31, 2014. No dividend was paid on Myers's common stock during the year.
2.		During 2014, Sullivan loaned $300,330 to TLC Co., an unrelated company. TLC made the first semiannual principal repayment of $50,120, plus interest at 10%, on December 31, 2014.
3.		On January 2, 2014, Sullivan sold equipment costing $60,950, with a carrying amount of $36,940, for $39,670 cash.
4.		On December 31, 2014, Sullivan entered into a capital lease for an office building. The present value of the annual rental payments is $400,950, which equals the fair value of the building. Sullivan made the first rental payment of $59,090 when due on January 2, 2015.
5.		Net income for 2014 was $373,740.
6.		Sullivan declared and paid cash dividends for 2014 and 2013 as shown below.

		2014		2013
Declared		December 15, 2014		December 15, 2013
Paid		February 28, 2015		February 28, 2014
Amount		$80,930		$99,860

Prepare a statement of cash flows for Sullivan Corp. for the year ended December 31, 2014, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)