Complete the following statement of cash flows for 2011 - INDIRECT METHOD

Assume net income (profit) for 2011 will be $4,230 and property, plant and equipment with a historical cost $1,296 and accumulated depreciation of $1,138 will be sold for cash of $303.

FORECASTED STATEMENT OF CASH FLOWS

Cash flow from operating activities 12/31/2011

Profit

Depreciation and amortization

Gain on sale of property, plant and equipment

Change in assets and liabilities

Receivabletrade

Prepaid expenses

Inventories

Accounts payable

Accrued wages and salaries

Customer advances

Net cash provided by operating activities

Cash flow from investing activities

Capital expenditures

Proceeds from disposal of property, plant and equipment

Net cash provided by (used for) investing activities

Cash flow from financing activities

Dividends paid

Share repurchases for treasury

Payments on debt

Net cash provided by (used for) financing activities

Change in cash

---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

FORECASTED BALANCE SHEET FOR PROBLEM I ONLY

Assets 12-31-2011/12-31-2010/Change

Current assets:

Cash and equivalents $3,821/ $3,592/ $229

Receivablestrade, net 8,808 /8,494/314

Receivablesfinance, net 8,298 /8,298 /0

Prepaid expenses 1,745 1,839 94

Inventories 8,823 /9,587/ 764

Total current assets $31,495/ $31,810/ $315

Property, plant and equip., net of accumulated 13,104/ 12,539/ 565

deprc of $13,946 in 2011 & $12,673 in 2010

Receivablestrade 744/ 793/ 49

Receivablesfinance 11,264/ 11,264/ 0

Goodwill 2,614 /2,614/ 0

Other noncurrent assets 5,000 /5,000/ 0

Total assets $64,221 /$64,020/ $201

Liabilities

Current liabilities:

Current portion of longterm debt:

Machinery and Engines 685/ 699/ 14

Financial Products 7,282 /7,282/ 0

Accounts payable 4,431/ 5,856/ 1,425

Accrued wages and salaries 1,213 /1,670/ 457

Customer advances 1,911/ 1,831/ 80

Other current liabilities 4,682/ 4,682/ 0

Total current liabilities $20,204/ $22,020/ $1,816

Longterm debt

Machinery and Engines 4,103/ 4,505/ 402

Financial Products 15,932/ 15,932/ 0

Liability for postemployment benefits 7,584/ 7,584/ 0

Other liabilities 2,654/ 2,654/ 0

Total liabilities $50,477/ $52,695/ $2,218

Stockholders' equity

Contributed capital 4,389/ 4,389/ 0

Treasury stock -11,108/ 10,397/ 711

Profit employed in the business 24,514/ 21,384/ 3,130

Accumulated &compre income 4,051/ 4,051/ 0

Total stockholders' equity $13,744/ $11,325/ $2,419

Total liabilities &stockholders' equity $64,221/ $64,020/ $201