PRIMAVERA CORPORATION Comparative Statements of Financial Position December 31 Assets Cash .... Accounts receivable Inventory Prepaid expenses..... Long-term investments Property, plant, and equipment Accumulated depreciation Total assets 2018 $ 34,000 A B 2,500 D 224,000 (50,000) E 2017 $ 18,000 32,000 70,000 10,000 200,000 (40,000 $292,000 S Liabilities and Shareholders' Equity Accounts payable. Accrued expenses payable. Bonds payable..... Common shares.. Retained earnings. Total liabilities and shareholders' equity S F 10,000 130,000 50,000 136,000 $364,000 $ 34,000 12,000 100,000 75,000 G $292,000 PRIMAVERA CORPORATION Income Statement For the Year Ended December 31, 2018 $500,000 Sales Expenses Cost of goods sold Operating expenses (excluding depreciation). Depreciation expense Interest expense Loss on sale of property, plant, and equipment. Income before income tax.... Income tax expense...... Net income $290,000 H 15,000 9,000 408,000 92,000 17.000 J Additional information regarding fiscal 2018: 1. New property, plant, and equipment costing $33,000 was purchased for cash. 2. Old property, plant, and equipment costing $9,000 was scrapped when the carrying amount was $4,000. 3. A cash dividend of $10,000 was declared and paid during the year. 4. The bonds were originally issued at face value. 5. At the end of the year, the Company's Accounts receivable aging summary shows an increase of $16,500 compared to last year. Also, the inventory count at the year-end indicates that there was an increase of $20,000 in ending inventory. Required: a. Solve for the missing amount in the Statement of Financial Position and Statement of Income (A to J) (10 marks) (You will be marked based on accuracy.) b. Prepare Statement of Cash Flows for Primavera Corporation. Use the indirect method to prepare the operating activities section. (20 marks) (You will be marked based on overall format and presentation of the statement.)