The income statement, balance sheets, and additional information for Great Adventures, Inc., are provided below. GREAT ADVENTURES, INC.
Income Statement
For the year ended December 31, 2022
Net revenues: $181,150
Expenses:
Cost of goods sold$39,300
Operating expenses 61,160
Depreciation expense 18,450
Interest expense 8,780
Income tax expense 15,300
Total expenses 142,990
Net income $38,160
GREAT ADVENTURES, INC.
Balance Sheets
December 31, 2022 and 2021
Increase (I) or
2022 2021 Decrease (D)
Assets
Current assets:
Cash$241,656 $59,220 $182,436 (I)
Accounts receivable 49,040 0 49,040 (I)
Inventory 8,600 0 8,600 (I)
Other current assets 1,060 5,140 4,080 (D)
Long-term assets:
Land 660,000 0 660,000 (I)
Buildings 848,000 0 848,000 (I)
Equipment 78,480 48,000 30,480 (I)
Accumulated depreciation (26,850) (8,400) 18,450 (I)
Total assets$1,859,986 $109,400
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable$27,840 $3,120 $24,720 (I)
Interest payable 830 830
Income tax payable 15,300 14,160 1,140 (I)
Other current liabilities 25,800 0 25,800 (I)
Notes payable (current and long-term) 683,526 31,600 651,926 (I)
Stockholders’ equity:
Common stock 136,000 20,000 116,000 (I)
Paid-in capital 1,049,600 0 1,049,600 (I)
Retained earnings 59,090 34,250 24,840 (I)
Treasury stock (138,000) 0 (138,000)(I)
Total liabilities and stockholders’ equity$1,859,986 $109,400
Additional Information for 2022:
Land of $660,000 was obtained by issuing a note payable to the seller.
Buildings of $848,000 and equipment of $30,480 were purchased using cash.
Monthly payments during the year reduced notes payable by $8,074.
Issued common stock for $1,160,000.
Purchased 11,600 shares of treasury stock for $23 per share.
Sold 5,600 shares of treasury stock at $24 per share.
Declared and paid a cash dividend of $13,320.
Required:
Prepare the statement of cash flows for the year ended December 31, 2022, using the indirect method.