Questions 12 through 15 are to be answered on the basis of the Trial balance and the Notes below.

December 31,2018 Dec 31, 2017

Debit Credit Debit Credit

Cash $ 178 $ 84

Accounts Receivable 300 240

Allowance for Bad Debts 13 10

Merchandise Inventory 370 400

Building & Equipment 420 360

Al1owance for Depreciation 180 190

Accounts Payables 220 210

Mortgage Bonds 300 300

Unamortized Bond Discount 18 21

Capital Stock 357 270

Retained Earning 125 90

Net Sales $4,200 $4,000

Cost of Goods Sold $2,300 $2,100

Salaries & Wages 1,500 1,400

Heat & Utilities 110 100

Depreciation 20 20

Taxes & insurance 10 10

Interest 16 15

Bad Debts 20 20

Loss on Equipment Sales 6

Dividend Paid 127 300

$5,395 $5,395 $5,070 $5,070

Notes (1) In 2018 equipment costing $40,000 and having a net bookvalue of $10,000 was sold for $4,000

(2) Dividends paid in 2018 include a stock dividend of $27,000

1. The amount of funds provided from net income for the year ended December 31, 2018 is

A. $214 B. $130 C.$260 D.$284

2, The amount of funds applied to dividends during the year 2018 is

A. $100 B. $125 C $175 D. $202.35

3. The amount of funds applied to building and equipment during the year 2018 is

A. $100 B. $70 C.$50 D.$30