Davis Inc. is a privately held company that uses ASPE. Davis had the following information available at March 31, 2017:

Davis Inc.'s partial list of comparative account balances as at March 31, 2017 and 2016 is as follows:

Additional information:
1. Bond interest expense includes $750 of bond discount amortized.
2. The investment income represents Davis Inc.'s reported income in its 40%-owned, significantly influenced investment in Jessa Ltd. Davis received a $2,000 dividend from Jessa on February 15, 2017.
3. During the year, the company retired $500,000 of its outstanding bonds payable, paying out $16,600 less than the price at which the bonds were carried on the books.
4. In early January 2017, Davis renewed and signed a four-year office rental lease, agreeing to pay $4,000 each month in rent. The lessor required the payment of the rent for the first and last months of the lease at that time.
5. The change in the FV-NI investments is from the change in the market value of the securities for the fiscal year 2017. There were no purchases or sales of these securities during the 2017 fiscal year.
There is insufficient information to allow you to prepare a complete statement of cash flows.
Instructions
(a) What is the amount of Davis Inc.'s change in cash to be explained on the statement of cash flows for the year ended March 31, 2017?
(b) Prepare the "Cash provided by (used in) operations" section of the statement of cash flows, assuming that the indirect method is used and all necessary information has been provided.
(c) Identify the amounts that would be reported within this section if the direct method were used for the following items:
1. Cash paid to and on behalf of employees
2. Cash paid for other operating expenses
3. Cash received from customers
4. Income taxes paid
5. Cash paid to suppliers for goods
6. Interestpaid
(d) Calculate the sum of the cash flows in part (c). Should the sum of the cash flows in the direct format equal the amount arrived at in part (a) for "Cash provided by (used in) operations"? If not, why not? If it should, do the amounts equal each other? Why or why not?
(e) How would your answer to parts (b) and (c) above change if Davis were using IFRS?

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DAVIS IN. Income Statement For the Year Ended March 31, 2017 Sales revenue Cost of goods sold Gross profit Operating expenses $450,000 260,000 190,000 Salaries and wages expense Depreciation expense Rent expense Administrative expenses Amortization expense for patents $64,500 18,000 21,000 1,500 112,500 77,500 Operating income Other revenues and expenses Bond interest expense Unrealized gains on FV-NI investments Investment income Gain on retirement of bonds (6,750) 3,000 12,500 16,600 25,350 102,850 Income tax expense current Income tax expense-future Net income 19,900 10,300 30,200 $ 72,650 March 31 $ 800 Investment in 30-day term deposits Accounts receivable Prepaid expenses FV-NI investments Prepaid rent-long-term 2 Salaries and wages payable Income tax payable Interest payable Accrued pension liability Future tax liability (16,500)