MWANAW KUNJUNTOW CO PROBLEM 14-11 Prepare a Statement of Cash Flows (LOL, LO2) A comparative balance sheet and an income statement for Blankley Company are given below. Blankley Company Comparative Balance Sheet (dollars in millions) Ending Balance Beginning Balance 18 MEN Assets Current assets Cash and cash equivalents Accounts receivable Inventory Total current assets Property, plant, and equipment. Less accumulated depreciation Net property, plant, and equipment Total assets. $ 39 640 650 1,329 1,505 770 735 $2,064 $ 81 588 610 1279 1.484 651 833 $2,112 . Llabilities and Stockholders' Equity Current liabilitios: Accounts payable Accrued liabilities Income taxes payablo Total current liabilities Bonds payable Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity. $ 260 180 77 517 415 932 $ 160 170 72 402 600 1,002 145 987 1,132 $2,064 145 965 1,110 $2,112 Blankey Company Income Statement (dollars in millions) Salos Cost of goods sold Gross margin Selling and administrative expenses Net operating Income Nonoperating items: Gain on sale of equipment Income before taxes Income taxes Not incomo $3,700 2,640 1,160 880 280 2 282 112 $ 170 Blankley also provided the following information: 1. The company sold equipment that had an original cost of $12 million and accumulated depre- ciation of 57 million. The cash proceeds from the sale were $7 million. The gain on the sale was 52 million 2 The company did not issue any new bonds during the year. The company paid cash dividend during the year, 4 The company did not complete any common stock transactions charing the year, Rere 1. Using the indirect method, prepare a statement of cash flows for the year 2 Ath Bankey had sales of $3.900, net income of $190, and not cash provided by penting stivities of S160 in the prior your call mers are stated in millions). Prepare a wemo was your interpretations of Bankly's financial performance