Reference no: EM13259058

The comparative balance sheet of Gold Medal Sporting Goods Inc. for December 31, 2008 and 2007 is shown as follows.

Dec.                                                          31,2008 Dec.   31,2007
Assets
Cash                                                            391,100        366,200
Accounts Receivable (net)                              142,400         130,600
Inventories                                                   401,100         385,700
Investments                                                    0               150,000
Land                                                            205,000              0
Equipment                                                     440,700        345,700
Accumulated depreciation-Equipment               (104,000)        (92,500)
                                                               1,476,300        1,285,700
Liabilities and stockholders equity
accounts payable(merchandise creditors)          267,800          253,100
accounts expenses(operating expenses)            26,400            32,900
dividends payable                                          15,000            12,000
common stock, 10 par                                     80,000            60,000
paid in capital in excess of par comm. stock        300,000         175,000
retained earnings                                           787,100          752,700
                                                                1,476,300        1,285,700

The following additional information was taken from the records:

a. The investments were sold for $175,000 cash

b. Equipment and land were acquired for cash

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

d. The common stock was issued for cash

e. There was a $94,400 credit to Retained Earnings for net income.

f. There was a $60,000 debit to Retained Earnings for cash dividends declared.

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities?