Consultex, Inc. was founded in 2012 as a small financial consulting business. The company had done reasonably well in 2012-2014 but started noticing its cash dwindle early in 2015. In January 2015, Consultex had paid $12,000 to purchase land and repaid $4,000 principal on an existing promissory note. In March, the company paid $1,200 cash for dividends and $1,000 to repurchase Consultex stock that had previously been issued for $1,000. To improve its cash position, Consultex borrowed $4,200 by signing a new promissory note in May and also issued stock to a new private investor for $11,200 cash. Year-end comparative balance sheets and income statements are presented below. CONSULTEX, INC. Balance Sheet Assets Cash Accounts Receivable Prepaid Rent Land October 31 2015 2014 $10,290 12,400 1,600 $ 12,400 11,200 2,200 22,000 10,000 $46,290 $ 35,800 Total Assets Liabilities and Stockholders' Equity Salaries and Wages Payable Income Taxes Payable Notes Payable (long-term) Common Stock $ 1,600 $ 2,200 1,000 1,000 11,400 11,200 18,400 8,200 Retained Earnings 13,890 13,200 Total Liabilities and Stockholders' Equity $46,290 $ 35,800 CONSULTEX, INC. Income Statement For the Year Ended October 31 2015 Sales Revenue $154,000 2014 $157,000 Salaries and Wages Expense 97,200 96,200 Rent Expense 35,200 29,200 Utilities Expenses 18,900 19,200 Income before Income Tax Expense 2,700 12,400 Income Tax Expense 810 3,720 Net Income $ 1,890 $ 8,680 Required: Prepare a properly formatted Statement of Cash Flows for Consultex, Inc. for the year ended October 31, 2015 (using the indirect method). (Amounts to be deducted should be indicated with a minus sign.) CONSULTEX, INC. Statement of Cash Flows For the Year Ended October 31, 2015 Cash Flows from Operating Activities: Net Income Changes in Current Assets and Current Liabilities Accounts Receivable Prepaid Rent Salaries and Wages Payable Cash Flows from Investing Activities: Purchased Land Cash Flows from Financing Activities: Repaid Promissory Note Principal Paid Cash Dividends Repurchased Company Common Stock Issued New Promissory Note Issued New Company Common Stock Cash Provided by Financing Activities Net Decrease in Cash Beginning Cash Position, October 31, 2014 Ending Cash Position, October 31, 2015 0 0 0 $ 0