4. Based on your answers to (1) and (2.) above, determine the net cash flow from financing activities. (Hint: This can be done without preparing the financing activities section of the statement.) (Enter your answer in millions.) Cash flow from financing activities 2. Prepare the investing activities section of the statement of cash flows for Laporte Inc. for the year ended December 31, 2020 (Negative answers should be indicated by a minus sign. Enter your answers in millions.) LAPORTE INC Statement of Cash Flows (Partial) For the Year Ended December 31, 2020 Cash flows from investing activities: $ Sale of equipment 10.000.000 Sale of long-term investment 24,000,000 Purchase of equipment (22,000,000) Net cash flow from investing activities $ 12.000.000 Required: 1. Prepare the operating activities section of the statement of cash flows for Laporte Inc. for the year ended December 31, 2020 by using the indirect method. (Negative answers should be indicated by a minus sign. Enter your answers in millions.) LAPORTE INC Statement of Cash Flows (Partial) For the Year Ended December 31, 2020 Cash flows from operating activities: Net earings $ 12,000,000 Add (deduct) items not affecting cash: Depreciation expense 10,000,000 Gain on sale of investments (6,000,000) Loss on sale of equipment 2,000,000 Increase in accounts receivable (10,000,000) Decrease in merchandise inventory 4,000,000 Decrease in income tax payable (14,000,000) Decrease in income tax payable (1,000,000) 0 Increase in accounts receivable $ (3,000,000) Net cash used for operating activities 3 4 The following information has been reported by Laporte Inc. on its statements of financial position at December 31, 2019 and 2020 and on its statement of earnings for the year ended December 31, 2020. Amounts are in millions of dollars: Statements of Financial Position Cash 2020 2019 $ 90 Accounts receivable $ 68 34 Merchandise inventory 24 28 32 Long-term investments 18 Property, plant, and equipment 196 154 Accumulated depreciation (78) (96) Total assets $ 270 $ 200 Accounts payable S24 38 Income taxes payable Long-term borrowings 80 20 Contributed capital 115 100 Retained earnings 48 38 Total liabilities and shareholders' equity $ 270 $ 200 Statement of Earnings Sales $ 140 Cost of sales (84) 56 Gross profit (10) Depreciation expense (34) Other operating expenses 12 Earnings from operations 6 Gain on sale of investments (2) Loss on sale of equipment 16 Earnings before income tax Income tax expense 5 12 Net earnings 4 Additional information is as follows: a. Old equipment was sold for cash during 2020. It had an original cost of $40 and an accumulated depreciation of $28. b. A new building was acquired during the year in exchange for a long-term note for $60. payable in five years. In addition, new equipment was purchased for cash