Megan Corporation's net income last year was $105,000. Changes in the company's balance sheet accounts for the year appear below:
| Increases (Decreases) |
| Asset and Contra-Asset Accounts: |
|
| Cash |
$(8,600) |
| Accounts receivable |
$(21,000) |
| Inventory |
$6,500 |
| Prepaid expenses |
$(11,900) |
| Long-term investments |
$87,000 |
| Property, plant and equipment |
$69,000 |
| Accumulated depreciation |
$72,000 |
| |
|
| Liability and Equity Accounts: |
|
| Accounts payable |
$0 |
| Accrued liabilities |
$18,700 |
| Income taxes payable |
$(12,600) |
| Bonds payable |
$(40,500) |
| Common stock |
$27,000 |
| Retained earnings |
$56,400 |
The company paid a cash dividend of $48,600 and it did not dispose of any long-term investments or property, plant, and equipment. The company did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.