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Question The following changes took place last year in Pavolik Companys balance sheet accounts Asset and Contra-Asset Accounts Liabilities and Equity Accounts Cash $ 76

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The following changes took place last year in Pavolik Companys balance sheet accounts

Asset and Contra-Asset Accounts Liabilities and Equity Accounts
Cash $ 76 I Accounts payable $ 20 I
Accounts receivable $ 15 I Accrued liabilities $ 8 D
Inventory $ 27 D Income taxes payable $ 12 I
Prepaid expenses $ 5 I Bonds payable $ 19 I
Long-term investments $ 29 D Common stock $ 44 D
Property, plant, and equipment $ 145 I Retained earnings $ 77 I
Accumulated depreciation $ 43 I
D = Decrease; I = Increase

Long-term investments that had cost the company $29 were sold during the year for $45, and land that had cost $30 was sold for $75. In addition, the company declared and paid $32 in cash dividends during the year. Besides the sale of land, no other sales or retirements of plant and equipment took place during the year. Pavolik did not retire any bonds during the year or issue any new common stock.

The companys income statement for the year follows:
Sales $ 602
Cost of goods sold 248
Gross margin 354
Selling and administrative expenses 277
Net operating income 77
Nonoperating items:
Gain on sale of land $ 45
Gain on sale of investment 16 61
Income before taxes 138
Income taxes 29
Net income $ 109
The companys beginning cash balance was $100 and its ending balance was $176.
Required:

Use the direct method to convert the company's income statement to a cash basis. (Adjustment amounts that are to be deducted should be indicated with a minus sign.)

PLEASE NOTE THIS IS THE DIRECT METHOD.

I am not sure the items I have selected below are correct.

This is my second time posting this question. Please only answer if you can help. The last person to answer didnt help at all. I have to fill in the above spreadsheet. Thank you in advance for the help.

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