4. Use the following financial statements for the Death Valley Nursing Home, Inc. and additional Information to prepare a statement of cash flows for the year ended (current year) Current Balance Sheet Last Year Assets Year Cash 37.500 AR 65,000 51,000 Inventory 53,000 36,500 Prepaid assets 4400 5.400 Equipment 124.000 115,000 Accum. Depr.- Equip 127.000) 19.000) Total Assets 317.700 292.900 44.000 Liabilities and Equity NP Wages Payable Income Tax Payable LT Notes Payable Com. Stock Spor Retained Earnings Total Lab. And SE 25,000 5,000 3,400 30,000 220,000 33,300 317.700 30,000 15,000 3,800 60.000 160,000 24.100 292.900 678,000 (411,000) 267,000 67,000 Income Statement Sales COGS Gross Profit Operating Expenses Selling and Admin Depreciation Total Operating expenses Operating Income Other in losses: Gain on sale of equip. 1125,600) 141400 2.000 143.400 143,890) 99,510 Income tax expense EAT Additional information A $10,000 note payable is retired of its carrying (book) value in exchange for cash The only changes affecting retained earnings are not income and cash dividends pald. New equipment is acquired for $57,600 cash. Neceived cash for the sale of equipment that had cost $48,600, vielding a $2.000 gain Pe x penses and Wages payable relate to Selling and Admin Exp on the income Statement All purchases and sales of merchandise Inventory are on credit 3. The following are the selected account balances of the Mayonnaise Clinic as of December 31, 2018. (you better be smiling or laughing with that company name!!III) Create a Balance Sheet for the Mayo Clinic. -- get it, mayo... mayonnaise.... I got dad jokes.... lol Accounts Payable Accounts Receivable Cash Retained Earnings Common Stock Bonds Payable (LT) Inventory Equipment $20,000 $60,000 $30,000 $170,000 $60,000 $120,000 $100,000 $200,000 $50,000 Accumulated Depreciation $40,000 Supplies $10,000 Notes Payable