(Solved): The comparative, unclassified statement of financial position for Pharoah Ltd. shows the following ...

The comparative, unclassified statement of financial position for Pharoah Ltd. shows the following balances at December 31 : Pharoah Ltd. Statement of Financial Position December 31 \begin{tabular}{|lrr} Assets & 2021 & 2020 \\ \hline Cash & $\$64,000$ & $\$0$ \end{tabular} Accounts receivable Inventory Land $\begin{array}{rr}17,000& 33,000\\ 35,000& 59,000\\ 97,000& 109,000\end{array}$ Buildings Accumulated depreciation-buildings $(74,000)(99,000)$ Equipment $\begin{array}{rr}517,000& 258,000\\ (74,000)& (99,000\\ 85,000& 45,000\end{array}$ Accumulated depreciation-equipment Total assets $\frac{(23,000)}{\$718,000}\frac{(12,000)}{\$393,000}$ Land $97,000109,000$ Buildings Accumulated depreciation-buildings $(74,000)(99,000)$ Equipment 85,000 Liabilities and Shareholders' Equity Bank overdraft $\$0\$8,000$ Accounts payable $\$47,000\$25,000$ Income tax payable 3,000 Interest payable $5,0006,000$ Dividends payable 3,000 Bank loan payabl Screenshot tion 25,000 25,000 Additional information regarding 2021: 1. Net income was $\$55,000$. 2. A gain of $\$8,000$ was recorded on the disposal of a small parcel of land. No land was purchased during the year. 3. A gain on the disposal of $\$39,000$ was recorded when an old building was sold for $\$55,000$ cash. A new building was purchased for $\$360,000$ and depreciation expense on buildings for the year was $\$60,000$. 4. Equipmer Screenshot 000 was purchased while a loss of $\$8,000$ was recorded on equipment that was sold for $\$5,000$. The 2. A gain of $\$8,000$ was recorded on the disposal of a small parcel of land. No land was purchased during the year. 3. A gain on the disposal of $\$39,000$ was recorded when an old building was sold for $\$55,000$ cash. A new building was purchased for $\$360,000$ and depreciation expense on buildings for the year was $\$60,000$. 4. Equipment costing $\$64,000$ was purchased while a loss of $\$8,000$ was recorded on equipment that was sold for $\$5,000$. The equipment that was sold late in the year had accumulated depreciation of $\$11,000$. 5. The company took out $\$212,000$ of new bank loans during the year. 6. Dividends were declared and paid and no common shares were bought back by the company. (a) Prepare the statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) Prepare the statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)