HW #1 CHANGE S effect CASH TRADE RECEIVABLES MERCH. INVENTORY INVESTMENTS PLANT ASSETS ACCUM. DEPREC. 12,000 20,000 22,000 8,000 15,000 30,000 60,000 150,000 (90,000) 173,000 175,000 (100,000) 129,000 11,000 ACCOUNTS PAYABLE MORTGAGE NOTE PAY. COMMON STOCK PIC IN EXCESS RETAINED EARNINGS 18,000 2,000 98,000 129,000 4,000 75,000 10,000 1,000 83,000 173,000 Net income was $15,000 Depreciation expense on the income statement was $10,000 Plant assets were purchased with cash. The investments were sold for $63,000 and we reported a gain on sale of investments on the income statement for $3,000. The common stock was issued for cash. Hwl STATEMENT OF CASH FLOWS FOR THE YEAR ENDED CASH FLOWS FROM OPERATING ACTIVITIES: Net income Add: Deduct: Net cash flow from opeartions CASH FLOWS FROM INVESTING ACTIVITIES: Add: Less: Net cash flow investing CASH FLOWS FROM FINANCING ACTIVITIES: Add: Less: Net cash flow financing in cash Cash at the beginning of the year Cash at the end of the year Schedule of noncash financing activities