Bolero Company holds 80 percent of the common stock of Rivera, Inc., and 40 percent of this subsidiarys convertible bonds. The following consolidated financial statements are for 2017 and 2018:

Problem 6-47 (LO 6-5) Bolero Company holds 80 percent of the common stock of Rivera, Inc., and 40 percent of this subsidiary's convertible bonds. The following consolidated financial statements are for 2017 and 2018: 2017 2018 (865,000) 603,000 93,000 S (995,000) 643,000 Revenues Cost of goods sold Depreciation and amortization 106,000 (23,000) 33,000 (236,000) 14,000 (222,000) Gain on sale of building Interest expense 33,000 (136,000) 12,000 Consolidated net income to noncontrolling interest (124,000) S S to parent company Retained earnings, 1/1 (303,000) (124,000) 53,000 (374,000) (222,000) 103,000 S Net income Dividends declared (374,000) (493,000) Retained earnings, 12/31 Cash 83,000 156,000 203,000 156,000 143,000 Accounts receivable Inventory 346,000 699,000 148,000 Buildings and equipment (net) 643,000 156,000 $ 1,241,000 Databases $1,492,000 Total assets Accounts payable Bonds payable (143,000) S (106,000) (506,000) (403,000) (35,000) (106,000) (180,000) (374,000) $(1,241,000) Noncontrolling interesst in Rivera Common stock Additional paid-in capital Retained earnings (44,000) (133,000) (210,000) (493,000) $(1,492,000) Total liabilities and equities Additional Information for 2018 The parent issued bonds during the year for cash Amortization of databases amounts to $8,000 per year The parent sold a building with a cost of $66,000 but a $33,000 book value for cash on May 11 The subsidiary purchased equipment on July 23 for $187,000 in cash Late in November, the parent issued stock for cash During the year, the subsidiary paid dividends of $25,000. Both parent and subsidiary pay dividends in the same year as declared. Prepare a consolidated statement of cash flows for this business combination for the year ending December 31, 2018. (Use indirect method) (Negative amounts and amounts to be deducted should be indicated by a minus sign.) BOLERO COMPANY AND CONSOLIDATED SUBSIDIARY RIVERA Consolidated Statement of Cash Flows Year Ending December 31, 2018 Cash from operating activities: Adjustment from accrual to cash Net cash flow from operating activities Cash flows from investing activities: Net cash flow from investing activities Cash flows from financing activities: Net cash flow from financing activities Cash, January 1, 2018 Cash, December 31, 2018