Question: The following comparative balance sheets and income
The following comparative balance sheets and income statement are available for AddieMae Inc. Prepare a statement of cash flows for 2016 using the indirect method and analyze the statement. 
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December 31, 2016 2015 $ 3,300 1,100 11,200 $15,600 Cash $1,000 Accounts receivable (net) 600 Inventory 4,300 $ 5,900 $ 2,300 (800) $ 1,500 Total Current Assets Plant and equipment Less accumulated depreciation Plant and equipment (net) Long-term investments Total Assets $ 3,000 (1,300) $ 1,700 1,200 $18,500 $ 3,300 900 $8,300 $ 2,500 Accounts payable Accrued liabilities 700 600 Income taxes payable 400 100 Total Current Liabilities $ 4,400 $ 3,200 Long-term debt 200 $ 4,600 9,900 4,000 $18,500 $ 3,200 7,300 (2,200) $ 8,300 Total Liabilities Common stock ($1 par) and additional paid-in capital Retained earnings Total Liabilities and Equity Income Statement for 2016 Sales $94,000 Cost of goods sold Gross profit Selling and administrative depreciation Operating profit Interest expense Earnings before tax Тах expense Net income 55,000 $39,000 $ 28,800 500 29,300 $ 9,700 100 $ 9,600 3,400 $ 6,200
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