Shown below is selected information from the financial records of Merris Corporation as of December 31:

Required

a. Determine which of the above items will appear on the statement of cash flows and then prepare the statement for Merris Corporation for the year ended December 31, 2019.

b. Comment on the adequacy of Merris's operations to provide cash for its investing and financing activities.

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Inventory.... Cash collected from customers Equipment, net.. Retained earnings Cash dividends paid. Salary expense.. $165,000 Cash purchase of equipment.. 350,000 Buildings, net 355,000 Sales revenue.. 480,000 Cash paid for operating activities.. 38,000 Principal payments on existing note payable. 215,000 Common stock... $ 29,000 810,000 910,000 225,000 41,000 529,000