A comparative balance sheet for Century Company appears below:
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Century COMPANY
Comparative Balance Sheet
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|
|
Dec. 31, 2015
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Dec. 31, 2014
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Assets
|
|
|
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Cash
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$29,000
|
$10,000
|
|
Accounts receivable
|
18,000
|
14,000
|
|
Inventory
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27,000
|
18,000
|
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Prepaid expenses
|
6,000
|
9,000
|
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Long-term investments
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-0-
|
18,000
|
|
Equipment
|
60,000
|
32,000
|
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Accumulated depreciation-equipment
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-18,000
|
-14,000
|
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Total assets
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$122,000
|
$87,000
|
|
Liabilities and Stockholders' Equity
|
|
|
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Accounts payable
|
$17,000
|
$7,000
|
|
Bonds payable
|
37,000
|
47,000
|
|
Common stock
|
40,000
|
23,000
|
|
Retained earnings
|
28,000
|
10,000
|
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Total liabilities and stockholders' equity
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$122,000
|
$87,000
|
Additional information:
1. Net income for the year ending December 31, 2015 was $30,000.
2. Cash dividends of $12,000 were declared and paid during the year.
3. Long-term investments that had a cost of $18,000 were sold for $16,000.
4. Sales for 2015 were $150,000.
Instructions
Prepare a statement of cash flows for the year ended December 31, 2015, using the indirect method.