Managerial Accounting: P12-11A The Farmer Company's comparative balance sheets

Managerial Accounting
P12-11A
The Farmer Company's comparative balance sheets for 2010 and 2011, and additional information, are presented below.
FARMER COMPANY
Comparative Balance Sheets
December 31,
2011 2010
ASSETS
Cash 14,000 9,000
Accounts receivable 52,000 24,000
Inventory 87,000 40,000
Equipment 125,000 100,000
Accumulated depreciation -42,000 -34,000
Prepaid expenses 4,000 2,000
Land 0 7,000
Building 50,000 0
Total Assets 290,000 148,000

LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable 25,000 14,000
Interest payable 8,000 6,000
Taxes payable 37,000 11,000
Note payable 37,000 32,000
Bonds payable 75,000 50,000
Common stock, $10 par 75,000 25,000
Retained earnings 33,000 10,000
Total Liabilities and Stockholders' Equity 290,000 148,000

Additional 2011 information:
Net income, $31,000
Sold land for gain of $3,000
Paid dividends of $8,000
Issued $50,000 stock to purchase building

Required:
Using the indirect method, prepare a statement of cash flows for 2011 for Farmer Company using the form below.
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