Comparative balance sheet accounts of Jensen Company are presented below. Jensen Company Comparative Balance Sheet Accounts As of December 3 $80,000 145,000 75,000 55,000 70,000 145,000 $51,000 130,000 61,000 85,000 48,000 145,000 Accounts Receivable Buildings Land Totals Allowance for Doubtful Accounts $10,000 21,000 37.000 70,000 12,000 S 8,000 14,000 28,000 60,000 10,000 70,000 260,000 Accounts Payable Income Taxes Payable Long.Tem Notes Payable Common Stock Retained Earnings 310,000 38,000 Totals Additional data 1. Equipment that cost S 10.000 and was 40% depreciated was sold in 2017. 2. Cash dividends were declared and paid during the year. .Common stock was issued in exchange for land. Investments that cost $35.000 were sold during the year There were no write-offs of uncollectible accounts during the year. Jensen's 2017 income statement is as follaws Sales Less: Cost of goods sold Gross proft Less: Operating expenses (includes dep. exp. and bad debt exp.) Income from operations Other revenues and expenses $950,000 600,000 350,000 250,000 100,000 $15,000 3,000) Gain on sale of investments Loss on sale of equipment Income before taxcs Income taxcs Net income 12.000 112,000 45,000 (2) Prepare the operating activity section of the statement of cash flows using direct method. Hint: When land was purchased through issuance of common stock, the company had a non-cash transaction. You should not include S15,000 cash outflows in the investing activities nor $15.000 cash inflows in financing activities. However, you need to add note at the end ofthe statement of cash flows as follows: Purchase of land through issuance of common stock