ROLLING HILLS, INC Comparative Balance Sheet December 31, 2018 and 2017 2018 2017 Assets Current Assets: Cash Accounts Receivable Merchandise Inventory s 26,900 15,700 25,400 91,500 26,500 79,800 Long-term Assets: 14,000 124,840114,650 Accumulated Depreciation-Plant Assets (18,940) (17,950) 274,200 243,300 Land 35, 100 Plant Assets Total Assets Liabilities Current Liabilities: Accounts Payable Accrued Liabilities 35,700 30,400 28,700 30,300 Long-term Liabilities Notes Payable 79,000 143,400 108,000 Total Liabilities 168,700 Stockholders' Equity Common Stock, no par Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 88,900 41,900 130,800 $274,200 64,500 10,100 74,600 243,300 Additionally, Rolling Hills purchased land of S2 1,100 by financing it 100% with long- term notes payable during 2018. During the year, there were no sales of land, no retirements of stock, and no treasury stock transactions. A plant asset was disposed of for S0. The cost and the accumulated depreciation of the disposed asset was $13,410. The plant acquisition was for cash. Requirements 1. Prepare the 2018 statement of cash flows, formatting operating activities by the indiredt method 2. How will what you learned in this problem help you evaluate an investment