Given below are the 20X2 income statement, the 20X2 and 20X1 comparative balance sheets for Lime Company Use these documents, along with the "Additional Information" which immediately follows the income statement to help you answer the question related to the SCF which follows below the information provided. Remember to use the 3 steps you were given with respect to preparing the "operating activities section" using the indirect method. Lime Company Income Statement For the Year Ended December 31, 20X2 Sales COGS Gross Profit Depreciation Expense Other Operating Expenses Income from Operations Loss on Sale of Equipment Gain on Sale of Investments $400,000 (220.000) 180,000 (22,000) (60,000) 98,000 (1,200) 3.000 Interest Expense Income before Taxes -(1.000) $98,800 Income Tax Expense (34,800) Net Income $64.000 Additional information (1) The only disposal of PP&E that occurred during the year was the sale of a truck for $4,000, that had cost $20,000 and which had a carrying value of $5,200 AD-4.000 theme of t 38 (1) (2). 01:38:23 (3). Additional information The only disposal of PP&E that occurred during the year was the sale of a truck for $4,000, that had cost $20,000 and which had a carrying value of $5,200 Q.e. A/D $14,800) at the time of sale. Assume all purchases of PP&E were for cash. Dividends paid and declared during the year -$4,000 Lime Company Balance Sheet December 31, 20x2 December 31, 20X1 Cash $95,000 $50,000 AR Inventory Prepaids $28,000 $22,000 $31,000 $23,000 $3.500 $ 4,000 Buildings Total current assets Long-Term Investments A/D-Building $157,500 $99,000 $0 $20,000 $60,000 $0 (3.000) $0 Equipment $88,000 A/D-Equipment (45,000) Total non-current assets $100,000 $108.000 (40.800) $87200 Au-buluny | 3,000 20 Equipment $88,000 $108,000 B A/D-Equipment (45.000) (40,800) Total non-current assets $100,000 $87,200 Total Assets $257.500 $186,200 8:06 Current Liabilities: A/P $17,500 $20,800 Accrued Liabilities $ 6,000 $ 4,400 Current portion of long-term $ 0 $10,000 debt Total current liabilities $23,500 $35,200 Notes Payable $ 5,000 $0.000 Total non-current liabilities $ 5,000 $0 Common Stock ($1 par) $ 10,000 $10,000 Preferred Stock (5%, $30 par) $ 6,000 APIC $0 $ 42,000 $30,000 Retained Earnings $171,000 $111,000 Total Stockholders' Equity $229,000 $151,000 Total Liabilities & Stockholders' Equity $257,500 $186,200 Lime Company 8 00 37:35 Stockholders' Equity $257.500 $186,200 Lime Company Statement of Cash Flows For the Year Ended December 31, 20X2 Operating Activities: Line #1 ("Step #1): $ "A" Add: $ "B" Add: "C" Less: "D" E Total from "Step 2 ? in A/R "G" "H" T ? in Accounts Payable "J" "K" Total from "Step 3" Cash provided by (used in) operating activities Investing Activities: Proceeds from "N" Proceeds from "0" HOT "M" "F" ? In Accounts Payable "J" "K" Total from "Step 3 Cash provided by (used in) operating activities Investing Activities: Proceeds from "N" Proceeds from "0" ? P Cash provided by (used in) investing activities Financing Activities: Payment on Proceeds from Proceeds from Payment of Cash provided by (used in) financing activities Change in cash Cach loeiant "M" "R" "S" "T" "U" V "W" *V* > 7 Cash provided by (used in) financing activities Change in cash Cash, January 1, 20X2 *Y* Calculate the amount of "I" [related to prepaids Multiple Choice. ($500) ($3,500) $500 Seved Help Seve & "V "W" "X" 5_2