Using financial statements to prepare a statement of cash flows-indirect method The comparative balance sheets and an income statement for Wang Beauty Products Inc. are shown as follows. Other Information 1. Purchased land for $112,000. 2. Purchased new equipment for $100,000. 3. Sold old equipment that cost $132,000 with accumulated depreciation of $112,000 for $20,000 cash. 4. Issued common stock for $50,000. Required Prepare the statement of cash flows for Year 2 using the indirect method.