Required: 1. Develop a Statement of Cash Flows for Matthew's Models for the year ending December 31, 20x7. ANSWER CASH FLOW STATEMENT FLOW (JAN 1 - DEC 31, 20XX) CASH FLOW FROM OPERATIONS PROFIT BEFORE TAXATION ADJUSTMENTS: DEPRECIATION (FURNITURE/BUILDING) INTEREST EXPENSE LOSS ON SALE OF PPE (VEHICLE) OPERATIONS CASH FLOW BEFORE WORKING CAPITAL CHANGES TRADE AND OTHER RECEIVABLES INVENTORIES OTHER CURRENT ASSETS TRADE PAYABLES OTHER CURRENT LIABILITIES $111,300.00 $20,000.00 $50,000.00 $2,500.00 $183,000.00 ($28,000.00) ($67,000.00) ($1,400.00) $34,000.00 ($6,000.00) $15,000.00 $130,400.00 SHORT TERM PAYABLE CASH GENERATED FROM OPERATIONS TAXES PAID NET CASH FROM OPERATING ACTIVITIES CASH FLOWS FROM INVESTING ACTIVITIES: PURCHASE OF FURNITURE NET CASH USED IN INVESTING $29,300.00 CASH FLOW FROM FINANCING INTEREST EXPENSE PAYMENT OF LONG-TERM FINANCING PAYMENT OF DIVIDENDS NET CASH USED IN FINANCING NET INCREASE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD CASH AND CASH EQUIVALENTS AT END OF PERIOD $101,100.00 ($25,000.00) ($25,000.00) ($50,000.00) ($12,000.00) ($40,000.00) ($102,000.00) ($35,900.00) $38,500.00 $2,600.00