Problem - Crane Inc., a greeting card company, had the following statements prepared as of December 31, 2017.

CRANE INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2017 AND 2016

              12/31/17 12/31/16

Cash $6,000 $6,900

Accounts receivable 62,400 50,800

Short-term debt investments (available-for-sale) 35,100 18,100

Inventory 40,100 60,400

Prepaid rent 5,100 4,000

Equipment 152,400 131,000

Accumulated depreciation-equipment (34,700) (24,800)

Copyrights 45,500  49,900

Total assets $311,900 $296,300

Accounts payable $45,900 $39,900

Income taxes payable 4,000 6,000

Salaries and wages payable 8,100 4,000

Short-term loans payable 8,100 10,000

Long-term loans payable 59,500 68,700

Common stock, $10 par 100,000 100,000

Contributed capital, common stock 30,000 30,000

Retained earnings 56,300  37,700

 Total liabilities & stockholders' equity $311,900  $296,300

CRANE INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2017

Sales revenue $337,125

Cost of goods sold 176,500

Gross profit 160,625

Operating expenses 120,600

Operating income 40,025

Interest expense $11,400

Gain on sale of equipment 2,000 9,400

Income before tax 30,625

Income tax expense 6,125

Net income $24,500

Additional information:

1. Dividends in the amount of $5,900 were declared and paid during 2017.

2. Depreciation expense and amortization expense are included in operating expenses.

3. No unrealized gains or losses have occurred on the investments during the year.

4. Equipment that had a cost of $20,000 and was 70% depreciated was sold during 2017.

Required - Prepare a statement of cash flows using the indirect method.