Exhibit 6.19 presents an abbreviated statement of cash flows for Largay Corporation for the current year (amounts in thousands of US$).

Exhibit 6.19

OPERATIONS

Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $100

Depreciation Expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Changes in Working Capital Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . (40)

Cash Flow from Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 75

INVESTING

Acquisition of Buildings and Equipment . . . . . . . . . . . . . . . . . . . . . . . . . (30)

FINANCING

Repayment of Long-Term Debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (40)

Change in Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5

Cash, Beginning of Year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

Cash, End of Year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 32

After preparing this statement of cash flows for the current year,you discover that the firm sold an item of equipment on the last day of the year but failed to record it in the accounts or to deposit the check received from the purchaser. The equipment originally cost $50,000 and had accumulated depreciation of $40,000 at the time of sale. Recast the statement of cash flows in the exhibit, assuming that Largay Corporation sold the equipment for cash in the following amounts (ignore income taxes):

a. $10,000

b. $12,000

c. $8,000