The comparative balance sheet of Posner Company, for 2011 and the preceding year ended December 31, 2010, appears below in condensed form:

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Additional data for the current year are as follows:

  1. Fully depreciated equipment costing $60,000 was scrapped, no salvage, and equipment was purchased for $183,200.
  2. Bonds payable for $100,000 were retired by payment at their face amount.
  3. 5,000 shares of common stock were issued at $13 for cash.
  4. Cash dividends declared and paid, $25,000.


Prepare a statement of cash flows, using the indirect method of reporting cash flows from operating activities.