Prepare the statement of cash flows for the year ended December 31st, the current year, using the Direct method:

Ex: Creating a Statement of Cash Flows Safeway Service and Repair was started five years ago by two college roommates. The company's comparative balance sheets and income statement are presented below along with additional information. Additional data: a. Prepaid expenses relate to rent paid in advance. b. Other expenses were paid in cash. c. Purchased equipment for $700 cash at the beginning of the current year and recorded $100 of depreciation expense at the end of the current year. d. At the end of the current year, the company signed a short-term note payable to the bank for $500. Required: Prepare the statement of cash flows for the year ended December 31 , current year, using the