Here are comparative balance sheets for Wilson Company.

Here are comparative balance sheets for Wilson Company. 

Wilson Company 

Comparative Balance Sheets 

December 31, 2013 

Assets                                  2013       2012 

Cash                                 $ 44,550       $ 13,500 

Accounts receivable              24,300         18,900 

Inventories                            33,750         24,300 

Prepaid expenses                   8,100         12,150 

Long-term investments               0            24,300 

Equipment                           81,000         43,200 

Accumulated depreciation—Equipment    (27,000)      (18,900) 

Total assets                      $ 164,700          $ 117,450 

Liabilities and Stockholder’s Equity 

Accounts payable               $ 22,950         $ 9,450 

Bonds payable                      49,950          63,450 

Common stock ($1 par)          54,000          31,050 

Retained earnings                  37,800           13,500 

Total liabilities and stockholder’s equity $ 164,700 $ 117,450 

Additional information: 

1. The 2013 Income Statement reported $8,100 in depreciation expense, a $5,400 loss on 

sale of investments and Net income of $48,600. 

2. Cash dividends of $24,300 were declared and paid. 

3. Long-term investments that has a cost of $24,300 were sold for $18,900 

4. Sales for 2013 were $162,000. 

Instructions:

Prepare a statement of cash flows for 2013 using the indirect method.