1. What is the net cash provided by operating activities? A. $119,000 B. $122,000 C. $135,000 D. $144,000

2. What is the net cash used by investing activities? A. $(25,000) B. $(28,000) C. $(36,000) D. $(39,000)

3. What is the net cash used by financing activities? A. $(45,000) B. $(51,000) C. $(53,000) D. $(68,000)

Sottbyte Corporation Comparative Balance Sheets December 31,2012 and 2011 2012 2011 Assets Cash Accounts Receivable Merchandise Inventory Equipment $174,000 93,000 609,000 333,000 156,000 $1,053,000 $117,000 81,000 534,000 297,000 (102,000) S927,000 Accumulated Depreciation- Equipment Total Assets Liabilities & Equity Accounts Payable Income taxes payable Common Stock, S2 par value Paid-in capital in excess $69,000 27,000 582,000 $96,000 24,000 558,000 of par value, common stock Retained Earnings Total Liabilities & Equity 198,000 177,000 1053.000 162,000 87,000 927,000 Sottbyte Corporation Income Statement For Year Ended December 31, 2012 Sales Cost of goods sold Gross profit Operating expenses S1,992,000 1,194,000 798,000 Depreciation expense Other expenses S54,000 Income before taxes Income taxes expense Net income 501,000 555,000 243,000 42,000 $201,000