please look carefully at the first picture and then answer the empty boxes on the second picture, thank you in advance PR 16-3A Statement of cash flows-indirect methodThe comparative balance sheets of Whitman Co. at December 31, 2016 and 2015, is as follows:Cash….……….Accounts receivable (net)Inventories.......Prepaid expensesLandBuildings.....Accumulated depreciation-buildings.Equipment....Accumulated depreciation-equipment.Total assets...Accounts payable (merchandise creditors)Bonds payable..........Common stock, $25 par....….……………..Paid-in capital: Excess of issue price over par-common stock.....Retained earnings.Total liabilities and stockholders' equity....…...ACCOUNT Land2016Jan.2016ACCOUNT BuildingsApr1BalanceApr. 20 Realized $151,200 cashfrom saleDate2016Jan.Dec.2016Jan.The noncurrent asset, noncurrent liability, and stockholders' equity accounts for 2016 are as follows:Date2016Jan.Aug.ACCOUNT Equipment2016MayACCOUNT Accumulated Depreciation-BuildingsDateJan.Dec.2016Jan.Dec.DateLiabilities and Stockholders' Equity1 Balance20 Acquired for cashAssetsDateACCOUNT Bonds PayableDateDate1Balance31 Depreciation for yearACCOUNT Accumulated Depreciation EquipmentDateItemBalance126 Equipment discardedDec. 31 Depreciation for yearItem1 Balance26 Discarded, no salvage11 Purchased for cash17DateACCOUNT Common Stock, $25 parItem1 Balance72016Jan.Dec. 3131Item1 Issued 20-year bonds.ItemItemACCOUNT Retained EarningsItemBalanceIssued 8,000 shares of commonstock for $50 per shareItemIssued 8,000 shares of commonstock for $50 per shareBalanceNet lossCash dividendsDebitDebitItem561,600ACCOUNT Paid-In Capital in Excess of Par-Common StockDebitDebit104,400DebitCreditDebitDebit163,80046,800CreditDebitDebit35,32032,400Dec. 31, 2016$ 918,000828,9001,268,460512,280(141,300)$4,785,480$ 922,500270,000317,000758,0002,517,980$4,785,48029,340315,9001,462,500(408,600)Credit270,000CreditCreditDebit26,280200,000479,700CreditCredit315,90046,800200,000CreditCreditACCOUNT NO.Balance29,340Debit900,9001,462,500ACCOUNT NO.Dec. 31, 2015$ 964,800761,9401,162,980Balance35,100479,700900,900(382,320)454,680(158,760)$4,219,020$958,3200117,000558,0002,585,700$4,219,020DebitCreditACCOUNT NO.DebitCreditBalanceDebitACCOUNT NO.454,680407,880512,280DebitDebitDebitBalanceACCOUNT NO.ACCOUNT NO.BalanceDebitACCOUNT NO.BalanceBalanceCredit382,320408,600ACCOUNT NO.Credit270,000CreditBalanceCredit158,760111,960141,300117,000317,000CreditACCOUNT NO.BalanceCredit558,000758,000Credit2,585,7002,550,3802,517,980InstructionsPrepare a statement of cash flows, using the indirect method of presenting cash flowsfrom operating activities.Chapter 16 Homework Problem 16-3AWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWrongWHITMAN CO.Statement of Cash FlowsFor the Year Ended December 31, 2016Cash flows from operating activities:Adjustments to reconcile net loss to net cash flow fromoperating activities:Cash flows from investing activities:Cash flows from financing activities:

The statement of cash flows is one of the primary financial statements prepared to show the reasons…

Cash..... Accounts receivable (net) Inventories..... Prepaid expenses Land .... Buildings Accumulated depreciation-buildings. Equipment........ Accumulated depreciation-equipment Total assets.....………... Accounts payable (merchandise creditors) Bonds payable.. Common stock, $25 par. Paid-in capital: Excess of issue price over par-common stock ACCOUNT Land Retained earnings ........ Total liabilities and stockholders' equity. 2016 Jan. 1 Apr. 20 Date ACCOUNT Buildings Date 2016 Jan. Dec. 2016 Jan. 2016 Jan. 1 Balance Apr. 20 Acquired for cash Date ACCOUNT Equipment Aug. 2016 Jan. The noncurrent asset, noncurrent liability, and stockholders' equity accounts for 2016 are as follows: ACCOUNT Accumulated Depreciation-Buildings Date 2016 Jan. Dec. Assets Liabilities and Stockholders' Equity ****** 2016 Jan. Dec. Date Date Balance Realized $151,200 cash from sale ACCOUNT Bonds Payable Item Date 1 Balance 31 Depreciation for year Item Date ACCOUNT Accumulated Depreciation Equipment 1 Balance 26 Equipment discarded Dec. 31 Depreciation for year 1 7 Item 1 Balance 26 Discarded, no salvage 11 Purchased for cash Item 2016 May 1 Issued 20-year bonds ACCOUNT Common Stock, $25 par Item Item Item Balance Issued 8,000 shares of common stock for $50 per share Debit Debit Item 561,600 1 Balance 7 Issued 8,000 shares of common stock for $50 per share Debit ACCOUNT Paid-In Capital in Excess of Par-Common Stock Credit Debit 104,400 Debit 163,800 Credit Debit Debit 46,800 Debit Dec. 31, 2016 $918,000 828,900 1,268,460 29,340 315,900 1,462,500 $4,785,480 $ 922,500 270,000 317,000 758,000 2,517,980 $4,785,480 (408,600) 512,280 Credit (141,300) 270,000 Credit Credit 26,280 200,000 Debit Credit Credit 479,700 315,900 46,800 200,000 Credit ACCOUNT NO. Debit 29,340 900,900 1,462,500 ACCOUNT NO. Balance Dec. 31, 2015 Balance $ 964,800 761,940 1,162,980 35,100 479,700 900,900 (382,320) 454,680 (158,760) $4,219,020 $958,320 2,585,700 $4,219,020 Debit 0 117,000 558,000 Credit ACCOUNT NO. Debit Credit Balance Debit Debit ACCOUNT NO. 454,680 407,880 512,280 Debit Balance ACCOUNT NO. ACCOUNT NO. Balance Debit Balance ACCOUNT NO. 382,320 408,600 Balance Credit Credit 270,000 Credit ACCOUNT NO. Credit Balance 158,760 111,960 141,300 Credit 117,000 317,000 Credit 558,000 758,000