Required: Prepare a schedule of cash flows from operating activities using the direct method for the year ended, December 31, Year 2. This is an individual assignment. Prepare your answer in Microsoft Excel and upload your spreadsheet to Blackboard. Boar Company Balance Sheet As of December 31 Accounts Payable Salaries Payable Pension Liability, long-term Common Stock - No par Retained Earnings Total liabilities and equity Year 2 $14,400 13,800 81,500 120,000 66,300 $296,000 Year 1 $19,000 11,000 41,800 120,000 50,900 $242,700 The balance sheet and income statement for Boar Company are presented on the following slides: Boar Company Balance Sheet As of December 31 Cash Accounts Receivable Inventory Long-term Investments Property and equipment Less: Accumulated Depreciation Total Assets Year 2 $70,000 14,500 60,000 100,000 110,500 (59,000) $296,000 Year 1 $66,300 20,000 51,100 65,900 85,100 (45,700) $242,700 Boar Company Income Statement For the Year Ended December 31, Year 2 Sales Cost of Goods Sold Gross Profit Depreciation Expense Salaries Expense Income before income taxes Income tax expense Net income $100,000 58,000 42,000 8,000 12,000 22,000 6,600 15,400