Help! USING DIRECT METHOD!

Sharp Screen Films, Inc., is developing its annual financial statements at December 31, current year. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized as follows: Current Year Prior Year Balance sheet at December 31 Cash Accounts receivable Merchandise inventory Property and equipment Less: Accumulated depreciation $ 68,750 16,050 23,250 209,950 (60, 100) $257,900 $ 9,900 1,700 53,840 99,800 92,660 $257,900 $ 64,400 23,250 18,400 151,200 (46,150) $211,100 $ 20,000 5,000 72,100 66,300 47,700 $211,100 Accounts payable Wages payable Note payable, long-term Common stock and additional paid-in capital Retained earnings Income statement for current year Sales Cost of goods sold Depreciation expense Other expenses Net income $199,000 96,000 13,950 43,400 $ 45, 650 Additional Data: a. Bought equipment for cash, $58,750. b. Paid $18,260 on the long-term note payable. c. Issued new shares of stock for $33,500 cash. d. Dividends of $690 were declared and paid. e. Other expenses all relate to wages. f. Accounts payable includes only inventory purchases made on credit Required: 1. Prepare the statement of cash flows using the direct method for the year ended December 31, current year. (List cash outflows as negative amounts.) * Answer is not complete. SHARP SCREEN FILMS, INC. Statement of Cash Flows For the Year Ended December 31, Current Year Cash flows from operating activities: Collections from customers Payments to suppliers (4,850) X (4,850) Net cash provided by operating activities Cash flows from investing activities: Cash payments to purchase property and equipment (58,750) (58,750) Net cash used in investing activities Cash flows from financing activities: Cash payments on long-term note Cash payments for dividends Cash receipts from issuing stock OOOOOOOOOO 0 Net cash provided by financing activities Net increase in cash during the year Cash balance, January 1, current year Cash balance, December 31, current year S 0