ORIOLERETAILERS LTD. Statement of Financial Position December 31 Assets 2021 Cash $ 0 Accounts receivable 81,000 Inventory 221,000 Furniture 133.000 Accumulated depreciation (37,000) Total assets $ 398,000 2020 $ 23,000 54,000 171.000 165.000 (50,000) $ 363,000 $ 0 Liabilities and Shareholders' Equity Bank overdraft Accounts payable Bank loan payable (noncurrent) Common shares Retained earnings Total liabilities and shareholders' equity 7,000 65.000 93,000 54,000 179,000 $ 398,000 45,000 108,000 64,000 146,000 $363,000 Additional information regarding 2021: 1. 2. 3. 4. Net income was $38,000. Depreciation expense was $15,000. During the year, the company did not receive any new bank loans, During the year, the company did not purchase furniture but did sell some furniture for $8,000, which resulted in a gain on disposal of $4,000. No common shares were issued during the year but some were repurchased at the cost at which they were originally issued. During the year, the company paid all dividends declared 5. 6. (a) Prepare a statement of cash flows using the indirect method for 2021. (Show amounts that decrease cash flow with either a - signes -15,000 or in parenthesis e.g. (15,000).) entor Cash Flows Year Ended December 31, 2021 Cash flows from operating activities Net income $ Adjustments to reconcile net income to Net cash provided by operating activities Depreciation expense $ 15000 Gain on disposal of furniture 4000 Increase in accounts receivable 127000) Increase in inventory 1500001 Increase in accounts payable 20000 Increase in accounts payable 20000 Net increase in cash > Cash flows from investing activities > Repayment of bank loan $ (15000) Net cash used by investing activities I Cash flows from financing activities Repurchase of common shares $ 5000 Payment of cash dividends Nettsteg LIVES Cash flows from financing activities Repurchase of common shares A 5000 Payment of cash dividends Repayment of bank loan Net cash used by financing activities enter a total amount for section three