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Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Year Last Year Assets Cash $ 8 $ 13

Comparative financial statements for Weaver Company follow:

Weaver Company Comparative Balance Sheet at December 31
This Year Last Year
Assets
Cash $ 8 $ 13
Accounts receivable 295 230
Inventory 156 195
Prepaid expenses 9 6
Total current assets 468 444
Property, plant, and equipment 511 431
Less accumulated depreciation (80 ) (70 )
Net property, plant, and equipment 431 361
Long-term investments 24 31
Total assets $ 923 $ 836
Liabilities and Stockholders' Equity
Accounts payable $ 301 $ 226
Accrued liabilities 70 80
Income taxes payable 71 63
Total current liabilities 442 369
Bonds payable 195 171
Total liabilities 637 540
Common stock 164 201
Retained earnings 122 95
Total stockholders equity 286 296
Total liabilities and stockholders' equity $ 923 $ 836

Weaver Company Income Statement For This Year Ended December 31
Sales $ 752
Cost of goods sold 447
Gross margin 305
Selling and administrative expenses 219
Net operating income 86
Nonoperating items:
Gain on sale of investments $ 6
Loss on sale of equipment (3 ) 3
Income before taxes 89
Income taxes 25
Net income $ 64

During this year, Weaver sold some equipment for $18 that had cost $31 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $13 that had cost $7 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $37 of its own stock. This year Weaver did not retire any bonds.

2. Using the information from Part 1, along with an analysis of the remaining balance sheet accounts, prepare a statement of cash flows for this year. (List any deduction in cash and cash outflows as negative amounts.)

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