Comparative Balance Sheet This Year Last Year Assets Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Loans to subsidiaries Total assets Liabilities and Stockholders' Equity Current liabilities Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Stockholders' equity: Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 95,000 638,000 $ 69,200 670,000 444,000 636,800 29,200 17,000 1,399,000 1,200,200 2,490,000 1,896,000 643,800 581,600 1,846,200 130,400 144,000 $ 3,519,600 1,314,400 202,000 82,000 $ 2,798,600 $ 908,400 39,400 164,200 1,112,000 $ 594,000 63,600 137,200 794,800 740,000 472,000 1,852,000 1,266,800 1,138,000 529,600 1,667,600 $ 3,519,600 1,024,000 507,800 1,531,800 $ 2,798,600 The following additional information is available about the company's activities during this year a. The company declared and paid a cash dividend this year. b. Bonds with a principal balance of $404,000 were repaid during this year. c. Equipment was sold during this year for $82,000. The equipment had cost $178,000 and had $68,800 in accumulated depreciation on the date of sale. d. Long-term investments were sold during the year for $158,000. These investments had cost $71,600 when purchased several years ago e. The subsidiaries did not repay any outstanding loans during the year. f Lomax did not repurchase any of its own stock during the year. The company reported net income this year as follows: Sales $ 3,480,000 The company reported net income this year as follows: Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: $ 3,480,000 2,157,600 1,322,400 1,057,200 Gain on sale of investments Loss on sale of equipment Income before taxes Income taxes Net income Required: 265,200 $ 86,400 (27,200) 59,200 324,400 104,000 $ 220,400 Using the indirect method, prepare a statement of cash flows for this year. (List any deduction amounts.) Operating activities: Investing activities: Lomax Company Statement of Cash Flows 0 0 Investing activities: Financing activities: Beginning cash and cash equivalents Ending cash and cash equivalents $ 0 0