11.17 Acme Manufacturing has provided the following financial statements: ACME MANUFACTURING Comparative Balance Sheets h45 For the Years Ended December 31, 1988 and 19X9 ASSETS 19X8 Cash $ 112,500 Accounts Receivable 350.000 Inventories 125,000 Plant and Equipment 1,000,000 Accumulated Depreciation (500,000) Land 500,000 Total Assets $1,587,500 LIABILITIES AND EQUITY Accounts Payable $ 300,000 Mortgage Payable Common Stock 75.000 Contributed Capital in Excess of Par 300,000 Retained Earnings 912,500 Total Liabilities and Equity $1,587,500 19X9 $ 350,000 281.250 150,000 1,025,000 (525.000) 718,750 $2,000,000 $ 237,500 250,000 75.000 300,000 1.137.500 $2.000.000 *Beginning Equipment Purchases Less Sales Ending Equipment $ 1.000.000 250,000 (225,000) $ 1,025,000 ACME MANUFACTURING Income Statement For the Year Ended December 31, 1949 Revenues $1,200,000 Gain on Sale of Equipment 50,000 Less: Cost of Goods Sold (640.000) Less: Depreciation Expense (125,000) Less: Interest Expense (35.000) Net Income S 450,000 Other information: (a) Equipment with a book value of $125,000 was sold for $175,000 (original cost was $225,000). (6) Dividends of $225,000 were declared and paid. Prepare a statement of cash flows