Comparative financial statements for Weaver Company follow:

Weaver Company Comparative Balance Sheet at December 31
	This Year				Last Year
Assets
Cash and cash equivalents	$	22			$	11
Accounts receivable		290				231
Inventory		158				195
Prepaid expenses		8				5
Total current assets		478				442
Property, plant, and equipment		506				427
Less accumulated depreciation		(82	)			(71	)
Net property, plant, and equipment		424				356
Long-term investments		27				33
Total assets	$	929			$	831
Liabilities and Stockholders' Equity
Accounts payable	$	302			$	224
Accrued liabilities		70				77
Income taxes payable		73				65
Total current liabilities		445				366
Bonds payable		198				171
Total liabilities		643				537
Common stock		163				202
Retained earnings		123				92
Total stockholders equity		286				294
Total liabilities and stockholders' equity	$	929			$	831

Weaver Company Income Statement For This Year Ended December 31
Sales					$	754
Cost of goods sold						449
Gross margin						305
Selling and administrative expenses						218
Net operating income						87
Nonoperating items:
Gain on sale of investments	$	6
Loss on sale of equipment		(1	)			5
Income before taxes						92
Income taxes						22
Net income					$	70

During this year, Weaver sold some equipment for $19 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $39 of its own stock. This year Weaver did not retire any bonds.

Brewer_8e_Rechecks_2020_01_27

Problem 13-7 Part 1

Required:

1. Using the indirect method, determine the net cash provided by/used in operating activities for this year. (List any deduction in cash and cash outflows as negative amounts.)

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.)