Consultex, Incorporated, was founded in 2018 as a small financial consulting business. The company had done reasonably well from 2018 through 2020 but started noticing its cash dwindle early in 2021. In January 2021, Consultex had paid $17,500 to purchase land and repaid $2,000 principal on an existing promissory note. In March, the company paid $2,300 cash for dividends and $1,000 to repurchase and eliminate Consultex stock that had previously been issued for $1,000. To improve its cash position, Consultex borrowed $5,300 by signing a new promissory note in May and also issued stock to a new private investor for $12,300 cash. Year-end comparative balance sheets and income statements are presented below. CONSULTEX, INCORPORATED Balance Sheet October 31 2021 2020 $ 10,530 14,600 2,150 27,500 $ 54,780 $ 14,600 12,300 3,300 10,000 $ 40,200 Assets Cash Accounts Receivable Prepaid Rent Land Total Assets Liabilities and Stockholders' Equity Salaries and Wages Payable Income Taxes Payable Notes Payable (long-term) Common Stock Retained Earnings Total Liabilities and Stockholders' Equity $ 2,150 1,000 15,600 20,600 15, 430 $ 54,780 $ 3,300 1,000 12,300 9,300 14,300 $ 40,200 CONSULTEX, INCORPORATED Income Statement For the Year Ended October 31 Sales Revenue Salaries and Wages Expense 2021 $ 159,500 98,300 2020 $ 162,500 97,300 ------ on An CONSULTEX, INCORPORATED Income Statement For the Year Ended October 31 Sales Revenue Salaries and Wages Expense Rent Expense Utilities Expenses Income before Income Tax Expense Income Tax Expense Net Income 2021 $ 159,500 98,300 36,300 20,000 4,900 1,470 $ 3, 430 2020 $ 162,500 97,300 30, 300 20,300 14,600 4,380 $ 10,220 Required: 1. Prepare a properly formatted Statement of Cash Flows for Consultex, Incorporated, for the year ended October 31, 2021 (using the indirect method). (Amounts to be deducted should be indicated with a minus sign.) CONSULTEX, INCORPORATED Statement of Cash Flows For the Year Ended October 31, 2021 Cash Flows from Operating Activities: Changes in Current Assets and Current Liabilities Changes in Current Assets and Current Liabilities Cash Flows from Investing Activities: Cash Flows from Financing Activities