Problem 2-28 Statement of Cash Flows (LG2-5)

Use the balance sheet and income statement below:

VALIUMS MEDICAL SUPPLY CORPORATION
Balance Sheet as of December 31, 2018 and 2017
(in thousands of dollars)
Assets	2018				2017				Liabilities and Equity	2018				2017
Current assets:									Current liabilities:
Cash and marketable securities	$	89			$	88			Accrued wages and taxes	$	64			$	58
Accounts receivable		208				198			Accounts payable		166				158
Inventory		328				308			Notes payable		148				148
Total	$	625			$	594			Total	$	378			$	364
Fixed assets:									Long-term debt	$	653			$	590
Gross plant and equipment	$	1,124			$	916			Stockholders equity:
Less: Accumulated depreciation		180				130			Preferred stock (6 thousand shares)	$	6			$	6
Net plant and equipment	$	944			$	786			Common stock and paid-in surplus (100 thousand shares)		120				120
Other long-term assets		168				168			Retained earnings		580				468
Total	$	1,112			$	954			Total	$	706			$	594
Total assets	$	1,737			$	1,548			Total liabilities and equity	$	1,737			$	1,548

VALIUMS MEDICAL SUPPLY CORPORATION
Income Statement for Years Ending December 31, 2018 and 2017
(in thousands of dollars)
	2018				2017
Net sales	$	926			$	836
Less: Cost of goods sold		406				369
Gross profits	$	520			$	467
Less: Other operating expenses		64				58
Earnings before interest, taxes, depreciation, and amortization (EBITDA)	$	456			$	409
Less: Accumulated depreciation		50				48
Earnings before interest and taxes (EBIT)	$	406			$	361
Less: Interest		65				59
Earnings before taxes (EBT)	$	341			$	302
Less: Taxes		148				128
Net income	$	193			$	174
Less: Preferred stock dividends	$	6			$	6
Net income available to common stockholders	$	187			$	168
Less: Common stock dividends		75				75
Addition to retained earnings	$	112			$	93
Per (common) share data:
Earnings per share (EPS)	$	1.87			$	1.68
Dividends per share (DPS)	$	0.75			$	0.75
Book value per share (BVPS)	$	7.00			$	5.88
Market value (price) per share (MVPS)	$	8.03			$	6.36

Prepare a statement of cash flows for Valiums Medical Supply Corporation. (Enter your answers in thousands. Amounts to be deducted should be indicated with a minus sign.)