10 The following comparative balance sheet is given for Estern Co Assets Cash Notes Receivable Supplies & Inventory Prepaid expense Long-term investments Machines and tools Accumulated depreciation-equipment Total Assets Liabilities & Stockholders' Equity Dec 31, 2021 $117,000 Dec 31, 2020 $19,500 24,000 21,000 27,000 40,500 10,500 18,000 0 27,000 55,500 48,000 (21.000) (15.000) $213,000 $159.000 Accounts payable $ 25,500 $ 10,500 Bonds payable (long-term) 55,500 70,500 Common Stock 60,000 34,500 Retained Earnings 72.000 43.500 Total Liabilities & Stockholders $213.000 $159.000 Equity Income Statement Information (2021): 1. Net income for the year ending December 31, 2021 is 543,500 2 Depreciation expense is 56,000. 3. There is a loss of $3,000 resulted from the sale of long-term investment Additional information (2021): 1 All sales and purchases of inventory are on account (or credit) 11 points Total Liabilities & Stockholders' $213.000 Equity Income Statement Information (2021): $159.000 1. Net income for the year ending December 31, 2021 is $43,500 2. Depreciation expense is $6,000. 3. There is a loss of $3,000 resulted from the sale of long-term investment. Additional information (2021): 1. All sales and purchases of inventory are on account (or credit) 2. Received cash for the sale of long-term investments that had a cost of $27,000, yielding a $3,000 loss 3. Cash dividends paid is $15,000 4. The company purchased new machines and tools for $7,500 cash Required: Prepare the FIRST (Operating) and the SECOND (Investing) sections of the statement of cash flows for the year ended December 31, 2021 For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac BIUS Paragraph (PLEASE PROVIDE EACH AMOUNT/ITEM IN A SEPARATE LINE) Arial 10pt EM Ev 38 8 0 0 1441 hp