Prepare a statement of cash flows, Financial Accounting

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The comparative balance sheet of Portable Luggage Company at December 31, 2008 and 2007, is as follows
An examination of the income statement and the accounting records revealed the following additional information applicable to 2008:

a. Net income, $204,800
b. Depreciation expense reported on the income statement: buildings, $20,500; machinery and equipment, $9,000
c. Patent amortization reported on the income statement, $5,500
d. A building was constructed for $230,000
e. A mortgage note for $90,000
f. 4,000 shares of common stock were issued at $38.50 in exchange for the bonds payable
g. Cash dividends declared, $52,000

Instructions:
Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

Clue: Net cash flow from operating activities is $221,700

 


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