Question 1 -Based on the following income statement, balance sheet and statement of retained earnings for Kazy Distributing prepare an indirect cash flow statement for 2015 In good forinat. Kazy Distributing Income Statement For Year Ended December 31, 2015 (in millions of dollars) Net Sales Cost of Sales Gross Margin Operating Expenses net Operating Income Non Operating Item Loss on Sale Income Before Taxes Income Taxes Net Income $ 4,521 2,012 2,509 2,176 333 (6) 327 82 245 Kazy Distributing Comparative Balance Sheet December 31, 2015 (In inillions of dollars) Asset $ 201 4 2015 Current Assets: Cash and Cash Equivalents Accounts Receivable Prepaid Expenses Merchandise Inventory Total Current Assets 60 78 12 63 213 64 83 11 54 212 Property, Plant and Equipment Accumulated Amortization Net, Property Plant and Equipment Total Assets 458 127 331 544 416 106 310 522 I Liabilities Current Liabilities: Accounts Payable Wages Payable Income Taxes Payable Short Term Notes Payable Total Current Liabilities 43 12 8 21 84 56 9 11 17 93 Long Term Liabilities: Long Term Notes Payable Mortgage Payable Deferred Taxes Total Long Term Liabilities Total Liabilities 171 67 24 164 74 19 262 346 257 350 Shareholders Equity Common Stock Retained Earnings Total Shareholder's Equity 112 86 198 94 78 172 Total Liabilities and Shareholder's Equity 544 522 Kazy Distributing Statement of Retained Earnings For Year Ended December 31, 2015 (in millions of dollars) Retained Earnings, January 1, 2015 78 Net Income 245 Dividends Paid 237 Retained Earnings, December 31, 2015 86 Other: There was no property, plant and equipment disposals during the year