Required:

a) Calculate the amount of dividends Dragoon paid using the information given.

b) Prepare a statement of cash flows using the indirect method.

c) Explain what is paid-in capital and reasons for possible increase in paid-in capital.

Question #1 Projected financial statement of Omron Inc. is as follows: M/S Omron Inc. Income Statement For the year ending December 31, 2020 Net Sales $9,500 Cost of goods sold 6,650 Gross Profit 2,850 Other Expenses Selling & Admin expenses Depreciation EBIT Interest EBT Income tax expense Net Income 1.200 100 1550 150 1400 350 $1,050 M/S Omron Inc. Balance Sheet As on December 31, 2020 Yr. 2020 Cash $ 1,200 Accounts receivables 1,750 Inventories 1,250 Total Current Assets 4,200 Property, plant & equipment 4,600 Less: Accumulated Depreciation 1,200 Net Property, plant & equipment 3,400 Long-term investments 970 Total Assets 8,570 Yr. 2019 $ 850 1,200 1,360 3,410 3,900 1,100 2.800 1,110 7,320 Accounts payable Accrued wages payable Interest payable Income tax payable Total Current Liabilities 1,100 250 70 200 1,620 800 350 120 50 1,320 1,100 1,400 Long-term Bonds Stockholder equity: Common stock Paid-in capital Retained earnings Total Stockholder equity Total liabilities and stock holder equity 1,000 400 4,450 5,850 8,570 930 70 3,600 4,600 7,320