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Consider the following financial statements for Athabasca Inc. Balance Sheet 2017 2018 Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets $5,000 30,000 40,000 $75,000 $6,500 $31,500 $42,000 $80,000 Income Statement for 2018 375,000 $393,750 $450,000 $473,750 Sales COGS Depreciation EBIT Interest EBT Taxes (45%) Net income $400,000 200,000 30,000 $170,000 15,000 $155,000 69.750 $85.250 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock Accumulated retained earnings Total Total liabilities and owners' equity $50,000 25,000 $75,000 $85,000 $53,750 $26,250 $80,000 $89,250 $60,000 230,000 $290,000 $450,000 $63,000 241,500 $304,500 $473,750 a. Please prepare a statement of cash flows for Athabasca Inc. for year 2018. b. Using the information given determine whether the firm is likely to be prone to financial distress during bad economic times. Please make use of the information related to the firm's capital structure. c. Calculate the Cash Flow from Assets (CFFA). Does the CF identity hold