HARLEY HOLDINGS LTD. Statement of Financial Position As at January 31 2020 2019 Assets Current assets: Cash Accounts receivable Inventory Total current assets Equipment Accumulated depreciation, equipment Land $40,000 $29,200 69.440 44,000 76,480 81,360 185.920 154,560 140,000 116,000 134,800) (31.200) ) 96,000 136,000 $387,120 $375,360 Liabilities and shareholders' equity Current liabilities: Accounts payable Dividends payable Total current liabilities Bank loan payable Common shares Retained earnings $36,240 10,400 46,640 80,000 120,000 140,480 $387,120 $49,760 4,000 53,760 112.000 104,000 105,600 $375,360 $348,000 236,000 112,000 HARLEY HOLDINGS LTD. Statement of Income For the year ended January 31, 2020 Sales revenue Cost of goods sold Gross profit Expenses Wages expense $12.160 Depreciation expense 21.200 Rent expense 12,080 Income tax expense Operation Income Gain on sale of equipment Net income 11.760 57,200 54,800 800 $55,600 Additional information: 1 1. Equipment costing $28,000 was sold for $11.200 2. Land was sold at cost and one was purchased during the year. (a2) Using the above information, prepare the operating activities section of statement of cash flows for Harley Holdings Ltd. for the year ended January 31, 2020, using direct method. (Show amounts that decrease cash flow with either a-signes -15,000 or in parenthesis es. (15,000) HARLEY HOLDINGS LTD. Statement of Cash Flows, Direct Method For the Year Ended January 31, 2020