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ent Your answer is partially correct. Try again. The comparative balance sheets for Hinckley Corporation show the following information. Cash Accounts receivable Inventory Investments Buildings Equipment Patents December 31 2014 2013 $39,720 $14,060 22,400 10,060 19,910 9,800 -0 3,940 -O- 30,730 47,530 20,030 5,2706,910 $134,830 $95,530 Allowance for doubtful accounts Accumulated depreciation-equipment Accumulated depreciation-building Accounts payable Dividends payable Notes payable, short-term (nontrade) Long-term notes payable Common stock Retained earnings $3,010 2,980 -0- 5,270 -0- 2,860 32,230 43,140 45,340 $134,830 $5,260 5,390 6,310 3,940 4,590 3,640 25,750 33,820 6,830 $95,530 Additional data related to 2014 are as follows. $134,830 $95,530 Additional data related to 2014 are as follows. 1. Equipment that had cost $12,970 and was 40% depreciated at time of disposal was sold for $4,180. 2. $9,320 of the long-term note payable was paid by issuing common stock 3. Cash dividends paid were $4,590. 4. On January 1, 2014, the building was completely destroyed by a flood. Insurance proceeds on the building were $31,680 (net of $2,270 taxes). 5. Investments (available-for-sale) were sold at $1,450 above their cost. The company has made similar sales and Investments in the past. 6. Cash was paid for the acquisition of equipment. 7. A long-term note for $15,800 was issued for the acquisition of equipment. 8. Interest of $3,630 and income taxes of $7,790 were paid in cash. Prepare a statement of cash flows using the indirect method. Flood damage is unusual and infrequent in that part of the country. (Show amounts th. flow with either a - sign e.g.-15,000 or in parenthesis e.g. (15,000).) HINCKLEY CORPORATION Statement of Cash Flows For the Year Ended December 31, 2014 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities CALCULATOR FULL HINCKLEY CORPORATION Statement of Cash Flows For the Year Ended December 31, 2014 Cash Flows from Operating Activities | Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities | | Depreciation Expense | | | Increase in Accounts Payable | | Increase in Inventory | | Patent Amortization | Loss on Sale of Equipment DOO | Gain on Sale of Equipment | | | Increase in Accounts Receivable (Net) A | Increase in Accounts Payable Il 7 CALCULATOR FUI || Increase in Accounts Payable Net Cash Provided by Operating Cash Flows from Investing Activities Sale of Investments Sale of Equipment Purchase of Equipment Proceeds from Flood Damage to Building || Cash Flows from Investing Activities C Cash Flows from Financing Ac DI ill Payment of Short-Term Note D CALCULATOR FULI Cash Flows from Financing Activities Net Increase in Cash Cash, January 1, 2014 Cash, December 31, 2014 Supplemental disclosures of cash flow 5 ON | | II III III | | | | Q 2 | SI | 1 | | ll | | | |

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