4 7. Using cash to purchase 100 shares of stock in another company. el 15. (10 points) Diane's balance sheets as of December 31, 2016 and 2017 are presented below: el 2016 2017 S 65,000 35,000 50,000 Cash $ 75,000 25,000 60,000 120,000 (40,000) $240,000 Accounts receivable Prepaid expenses Property, plant, and equipment- at cost Accumulated depreciation TOTAL ASSETS 168,000 45,000) $273.000 $ 17,000 0 30,000 25,000 26,000 50,000 125,000 $273,000 Accrued wages payable Unearned revenues $ 20,000 15,000 Dividends payable Long-term debt Common stock Additional paid-in-capital Retained earnings TOTAL LIABILITIES & SE 0 35,000 24,000 46,000 100,000 $240.000 SELECTED OTHER INFORMATION: 1. During 2017, Diane reported net income of $145,000. 2. During 2017, Diane both borrowed on a long-term basis and paid back some long-term debt. During 2017, Diane paid back $25,000 of principal. 3. During 2017. Diane both bought and sold some property, plant, and equipment (PP&E). A machine Diane sold during 2017 originally cost her $20,000. Diane sold the PP&E for $7,000. At the time of the sale, the PP&E had accumulated depreciation of $17,000. 4. During 2017, Diane issued additional common stock. 5. During 2017, Diane declared four quarterly dividends. 2017 was the first year in which Diane declared dividends. 6. During 2017, Diane did NOT enter into any non-cash investing or financing activities. el Prepare Diane's Statement of Cash Flows (in good form) for the year ended December 31, 2017. Diane uses the indirect method. 16. (1.5 points) On 12-31-14, Acme entered into an agreement that required Acme to pay someone $500,000 on 12-31-31. Assume