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Shown below are comparative statements of financial position for Novak Corporation.
| NOVAK CORPORATION Statement of Financial Position December 31 |
| Assets | | 2018 | | | 2017 | |
| Cash | | $68,860 | | | $20,300 | |
| Accounts receivable | | 84,070 | | | 75,690 | |
| Inventory | | 173,760 | | | 194,250 | |
| Land | | 79,120 | | | 100,930 | |
| Equipment | | 262,700 | | | 192,800 | |
| Accumulated depreciation equipment | | (64,900 | ) | | (29,900 | ) |
| | | $603,610 | | | $554,070 | |
| Liabilities and Shareholders Equity | | | | | | |
| Accounts payable | | $37,110 | | | $44,140 | |
| Bonds payable | | 145,000 | | | 191,000 | |
| Common shares | | 214,450 | | | 169,710 | |
| Retained earnings | | 207,050 | | | 149,220 | |
| | | $603,610 | | | $554,070 | |
Additional information:
| 1. | | Net income for 2018 was $96,630. There were no gains or losses reported on the income statement. | |
| 2. | | Cash dividends of $38,800 were declared and paid. | |
| 3. | | Bonds payable amounting to $46,000 were redeemed for cash $46,000. The bonds were originally issued at face value (no premium or discount). | |
| 4. | | Common shares were issued for $44,740 cash. | |
| 5. | | No land was purchased during 2018. | |
| 6. | | No equipment was disposed of during 2018. | |
Prepare a statement of cash flows for 2018 using the indirect method.
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