Need Help. Required:Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.Merrick Equipment Co.Statement of Cash FlowsFor the Year Ended December 31, 20Y9Cash flows from (used for) operating activities:Net incomeAdjustments to reconcile net income to net cash flow from operating activities:DepreciationGain on sale of investmentsChanges in current operating assets and liabilities:Increase in accounts receivableIncrease in inventoriesIncrease in accounts payableDecrease in accrued expenses payableNet cash flow from operating activitiesCash flows from (used for) investing activities:Cash received from sale of investmentsCash paid for purchase of land -Cash paid for purchase of equipmentNet cash flow used for investing activitiesCash flows from (used for) financing activities:Cash received from sale of common stockCash paid for dividendsNet cash flow from financing activitiesNet increase in cashCash balance, January 1, 20V9Cash balance, December 31, 20V9 Statement of Cash Flows-Indirect MethodThe comparative balance sheet of Merrick Equipment Co. for December 31, 20V9 and 20Y8, is as follows:Dec. 31, 20Y9 Dec. 31, 20Y8AssetsCash$251,800$236,390Accounts receivable (net)91,22084,900Inventories257,490251,370Investments97,390Land132,080Equipment284,100222,240Accumulated depreciation-equipment(66,510)(59,930)Total assets$950,180$832,360Liabilities and Stockholders' EquityAccounts payable (merchandise creditors)$171,980$163,970Accrued expenses payable (operating expenses)17,10021,640Dividends payable9,5007,490Common stock, $10 par51,31040,790Paid-in capital in excess of par-common stock192,890113,200Retained earnings507,400485,270Total liabilities and stockholders' equity$950,180$832,360Additional data obtained from an examination of the accounts in the ledger for 20Y9 are as follows:a. Equipment and land were acquired for cash.b. There were no disposals of equipment during the yearc. The investments were sold for $113,950 cash.d. The common stock was issued for cash.e. There was a $61,250 credit to Retained Earnings for net income.f. There was a $39,120 debit to Retained Earnings for cash dividends declared.Required:Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

Cash flow statement is a statement which is prepared to find out the cash comes in and goes out , by…

Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 20Y9 Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flow from operating activities: Depreciation Gain on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash flow from operating activities Cash flows from (used for) investing activities: Cash received from sale of investments Cash paid for purchase of land Cash paid for purchase of equipment Net cash flow used for investing activities Cash flows from (used for) financing activities: Cash received from sale of common stock Cash paid for dividends Net cash flow from financing activities Net increase in cash Cash balance, January 1, 20Y9 Cash balance, December 31, 20V9