QUE Navaria Inc Score: 44/174 Statement of Cash Flows (Label) 1 Cash flows from operating activities: 2 Net income $500,000.00 4 100,000.00 75,000.00 5 Adjustments to reconcile net income to net cash flow from operating activities: Depreciation Gain on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in Accrued expense 7 50,000.00 20,000.00 9 40,000.00 10 11 12 13 Cash flows from (used for) investing activities: 14 15 16 17 18 I 19 Cash flows from (used for) financing activities: 20 21 22 25 Increase in cash 24 Cash at the beginning of the year 5,000.00 75 Cash at the end of the year $10,000.00 The comparative balance sheet of Navaria Inc. for December 31, 20Y3 and 20Y2, is shown as follows: 1 Dec 31, 2013 Dec 31, 2012 2 Assets 3 Cash $150,000.00 $155,000.00 450,000.00 Accounts receivable (net) 400,000.00 5 Inventories 770,000.00 750,000.00 6 Investments 0.00 100,000.00 7 Land 500,000.00 0.00 1,400,000.00 1,200,000.00 Equipment Accumulated depreciation equipment (600,000.00) $2,675,000.00 (500,000.00) $2,100,000.00 10 Total assets 11 Liabilities and Stockholders' Equity 12 Accounts payable 15 Accrued expenses payable $340,000.00 $300,000.00 45,000.00 50,000.00 14 Dividends payable 30,000.00 25,000.00 Instructions 15 Common stock, 54 par 700,000.00 600,000.00 200,000.00 175,000.00 16 Paid-in capital: Excess of issue price over par-common stock 19 Retained earnings Total liabilities and stockholders' equity 1,360,000.00 950,000.00 11 $2,675,000.00 $2,100,000.00 Additional data obtained from an examination of the accounts in the ledger for 2073 are as follows: A. The investments were sold for $175,000 cash. B. Equipment and land were acquired for cash C. There were no disposals of equipment during the year. D. The common stock was issued for cash. E. There was a $500,000 credit to retained Eamings for net income. F. There was a $90,000 debit to retained Earnings for cash dividends declared. Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Be sure to complete the heading of the statorient. Use the minus sign to indicate cash outflows, decreases in cash and a net cash outflow for each section, if required