Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $13,125 (details in b). b. Sold equipment costing $70,875, with accumulated depreciation of $38,125, for $19,625 cash. c. Purchased equipment costing $104,375 by paying $46,000 cash and signing a long-term notes payable for the balance. d. Paid $49,325 cash to reduce the long-term notes payable. e. Issued 3,300 shares of common stock for $20 cash per share. f. Declared and paid cash dividends of $51,700. FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Cash borrowed on short-term note Cash paid for dividends Cash paid for equipment Cash paid for income taxes Cash paid for inventory FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Cash paid for operating expenses Cash paid on long-term notes Cash received from customers Cash received from issuing stock Cash received from sale of equipment Decrease in accounts payable Decrease in accounts receivable Decrease in merchandise inventory Decrease in prepaid expenses Depreciation expense Increase in accounts payable Increase in accounts receivable FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Increase in accounts receivable Increase in merchandise inventory Increase in prepaid expenses Loss on sale of equipment Net income