Statement of Cash Flows Excel Problem Prepare a Statement of Cash Flows for Banana World using the Comparative Balance Sheet and additional information. The year ended on December 31, 2025 and the indirect method will be used. Fill in the dollar difference between the years by subtracting the current year by the previous year. Next, fill in the section in which that line will appear in the Statement of Cash Flows (Operating, Investing, Financing or Non Cash item). Lastly, identify if it will be added or subtracted in that section. The cells that are grey are to be completed. Additional Information: Section (O, I, F, NC) Add + / Subtract -Banana World 1. The Income Statement for 2025 included the following items: Comparative Balance Sheet a. Net Income $ 417,000 December 31, 2025 and 2024 b. Depreciation Expense $ 34,330 2025 2024 Difference Section (O, I, F, NC) Add + / Subtract - c. Amortization on Bonds Payable $ 254 Assets 2. There were no disposals of property, plant and equipment during the year. Current Assets: All acquisitions of PP&E were for cash except for the land, which was acquired by issuing preferred stock. Cash $ 523,693 $ 12,125 3. The company issued bonds payable. Short-term Investments, net 23,840 0 Face Value of Bonds: $ 210,000 Accounts Receivable, net 2,422 7,600 Cash received for Bonds: $ 208,476 Merchandise Inventory 355 0 4. The company distributed 4,000 shares of common stock in a stock dividend when the market value was $4.50 per share. Office Supplies 60 165 Other dividends paid in cash: $ 15,000 Prepaid Rent 0 2,000 5. The common stock, except for the stock dividend, was issued for cash. Property, Plant and Equipment: 6. The cash receipt from the Notes Payable in 2025 is considered a financing activity because it does not relate to operations. Land 155,000 85,000 Building 610,000 35,000 Delivery Truck 12,000 12,000 Office Furniture and Equipment 150,000 0 Accumulated Depreciation - PP&E (35,180) (850) Total Assets $ 1,442,190 $ 153,040 Liabilities Current Liabilities: Accounts Payable $ 5,195 $ 3,050 Utilities Payable 745 295 Telephone Payable 700 325 Wages Payable 4,250 1,250 Notes Payable 15,000 0 Interest Payable 350 50 Unearned Revenue 500 350 Long-term Liabilities: Notes Payable 7,200 7,200 Mortgage Payable 405,000 0 Bonds Payable 210,000 0 Discount on Bonds Payable (1,270) 0 Total Liabilities $ 647,670 $ 12,520 Stockholders' Equity Paid-In Capital: Preferred Stock 60,000 0 Paid-In-Capital in Excess of Par-Preferred 10,000 0 Common Stock 186,000 136,000 Paid-In-Capital in Excess of Par-Common 150,000 0 Retained Earnings 388,520 4,520 Total Stockholders' Equity 794,520 140,520 Total Liabilities and Stockholders' Equity $ 1,442,190 $ 153,040

Requirement Prepare the statement of cash flows for the year ended December 31, 2025, using the indirect method. The cells that are grey are to be completed. Adjustments to Reconcile Net Income to Net Cash