2. Cash flow, transactional analysis; 1990 CFA adapted] The following financial statements are from the 19X2 Annual Report of gara Company: Income Statement, for Year Ended December 31, 19X2 Sales Cost of goods sold Depreciation expense Sales and general expense Interest expense Income tax expense Net income $1000 (650) (100) (100) (50) (40) $ 60 Balance Sheets, at December 31, 198119X2 1981 1982 $ 50 500 750 $ 60 520 770 $1350 550 $1900 $1300 500 $1800 Assets Cash Accounts receivable Inventory Current assets Fixed assets (net) Total assets Liabilities and equity Notes payable to banks Accounts payable Interest payable Current liabilities Long-term debt Deferred income tax Capital stock Retained earnings Total liabilities and equity $ 100 590 10 $ 700 300 300 400 $ 75 615 20 $ 710 350 310 400 130 $1900 100 $1800 Prepare a statement of cash flows for the year ended December 31, 19X2. Use the direct method