The comparative balance sheet of Oak and Tile Flooring Co. for June 30, 2008 and 2007, is as follows:

The following additional information was taken from the records:

a. Equipment and land were acquired for cash.

b. There were no disposals of equipment during the year.

c. The investments were sold for \(\$ 45,000\) cash.

d. The common stock was issued for cash.

e. There was a \(\$ 50,000\) debit to Retained Earnings for cash dividends declared.
Instructions Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities.obj. 3

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June 30, 2008 June 30, 2007 Assets Cash Accounts receivable (net) Inventories $ 34,700 101,600 $ 23,500 92,300 146,300 142,100 Investments 0 50,000 Land 145,000 0 Equipment 215,000 175,500 Accumulated depreciation (48,600) (41,300) $594,000 $442,100