INSTRUCTION: Prepare statement of cash flow for $2021$ and journal entries for the additional informationPROBLEM $2.$ Information on ABC DEF Co$.\text{'}$s financial position and performance as of December $31,2021$ and $2020$ are presented below.

PREPARE STATEMENT OF CASH FLOWS.

Additional information

The net income for $2021$ is $P6,000,000.$

Wowie paid a cash dividend of P$5,000,000$ on October $1,2021.$

During $2021,$ there were no transactions affecting trading securities except the change in market value.

On January $2,2021,$ Wowie sold equipment costing P$1,000,000,$ with a carrying amount of $P600,000,$ for $P500,000.$

On July $1,2021,$ Wowie purchased equipment for P$3,000,000$ cash.

On December $31,2021,$ Wowie purchased land by issuing bonds payable at face value of $P3,000,000.$