Balance Sheets as at December 31 2015 2016 Changes Assets Cash Accounts Receivable Inventories 39,000 74,370 35,330 25,625 9705 29,330 28,450 Prepaid Expenses 7,240 28,150 Equipment 65,745 55,385 Accumulated Depreciation -- Equipment (32,920) -39,770 TOTAL ASSETS 143,725 172,210 Liabilities & Shareholders' Equity Accounts Payable 18,500 16,150 Loan 27,940 33,390 Common Stock 44,405 52,395 Retained Earnings 52,880 70,275 TOTAL LIABILITIES & SH. EQUITY 143,725 172,210 Income statement or the year ended December 31, 2017 Total Sales Revenue Less: Cost of Goods Sold Gross Profit Operating expenses Income from operations Loss on sale of equipment Other Expenses Net income 350,000 193,450 156,550 4 77,150 79,400 300 28,450 50,650 Additional Information: During the year 2017, 1. Some old equipment was sold for $14,150 cash. This equipment cost $20,000 originally and had a book value of $14,450 at the time of sale. The company also purchased some equipment during the year. 2. The depreciation expense of $12,400 is included in the operating expenses. year. 3. Dividends were declared and paid during the Required Prepare a Cash Flow statement for the year ended Dec 31, 2016