Question 2. The comparative statements of financial position of Carefour Co. for 2019 and 2018 appear as follows. Carefour Inc. Statements of Financial Position Assets 2019 Buildings Less: Accumulated depreciation-buildings Accounts receivable Cash $138,000 (34,000) 96,000 90,000 290,000 2018 $74,000 (22,000) 86,000 26,000 164,000 Total Equity and Liabilities Share capital-ordinary Retained earnings Notes Payable (long-term) Accounts payable Total 140,000 100,000 50,000 34,000 60,000 40,000 30,000 $290,000 $164,000 Net income of $76,000 was reported in 2019. New buildings were purchased and none were sold. (Hint: Use the Retained Earnings formula to compute dividends paid for 2019) Instructions Prepare a statement of cash flows for the year 2019. (60 points) Explain the reason for the adjustments made in the Operating Section of the Cash Flow Statement. (15 points) Explain the reason why in Financing Section, when it comes to the change in Retained Earnings, only dividends are considered. (5 points)