Statement of Cash Flows Shaded cells have feedback. Prepare a statement of cash flows, using the indirect method of presenting cash flows from (used for) operating activities. Be sure to complete the heading of the statement. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Use the minus sign to indicate cash outflows, decreases in cash and a net cash outflow for each section, if required. Orange Angel Enterprises Inc. Score: 132/149 Statement of Cash Flows For the Year Ended December 31, 20Y8 1 Cash flows from (used for) operating activities: 2 Net income $343,310.00 Adjustments to reconcile net income to net cash flows from (used for) operating 3 activities: 4 > Depreciation 83,570.00 5 Changes in current operating assets and liabilities: 6 Decrease in accounts receivable 18.590.00 Statement of Cash Flows Shaded cells have fe 6 Decrease in accounts receivable 18,590.00 7 Increase in merchandise inventory (23,540.00) 8 Increase in prepaid expenses (2,940.00) 9 Increase in accounts payable 10,930.00 10 Net cash flows from operating activities $429,920.00 11 Cash flows from (used for) investing activities: 12 Cash paid for equipment $(163,630.00) 13 Net cash flows used for investing activities (163,630.00) 14 Cash flows from (used for) finaning activities: 15 Cash received from issuing common stock $190,000.00 16 Cash dividends (154,190.00) 17 Cash paid to retire mortgage note payable (355,820.00) 18 Net cash flows used for financing activities (320,010.00) 19 Net decrease in cash $(53,720.00) 11 Cash flows from (used for) investing activities: Shaded cells hav 12 Cash paid for equipment $(163,630.00) 13 Net cash flows used for investing activities (163,630.00) 14 Cash flows from (used for) financing activities: 15 Cash received from issuing common stock $190,000.00 16 Cash dividends (154,190.00) 17 Cash paid to retire mortgage note payable (355,820.00) 18 Net cash flows used for financing activities (320,010.00) 19 Net decrease in cash $(53,720.00) 20 Cash balance, January 1, 20Y8 180,310.00 21 Cash balance, December 31, 20Y8 $126,590.00 Instructions The comparative balance sheet of Orange Angel Enterprises Inc. at December 31, 20Y8 and 2077, is as follows: 1 Dec 31, 20Y8 Dec. 31, 2017 2. Assets 3 Cash $146,590.00 $180.310.00 4 Accounts receivable (net) 223,920.00 242.510.00 5 Merchandise inventory 322,020.00 298,480.00 6 Prepaid expenses 12,710.00 9,770.00 7 Equipment 654,640.00 536.710.00 Instructions 7 Equipment 654,640.00 536,710.00 8 Accumulated depreciation-equipment (170,680.00) (132,810.00 9 Total assets $1,189,200.00 $1,134,970.00 10 Liabilities and Stockholders' Equity 11 Accounts payable (merchandise creditors) $249,470.00 $238,540.00 12 Mortgage note payable 0.00 335,820.00 13 Common stock, $10 par 73,000.00 23,000.00 14 Excess of paid-in capital over par 450,000.00 310,000.00 15 Retained earnings 416,730.00 227,610.00 16 Total liabilities and stockholders' equity $1,189,200.00 $1,134,970.00 Instructions 15 Retained earnings 416,730.00 227,610.00 16 Total liabilities and stockholders' equity $1,189,200.00 $1,134,970.00 Additional data obtained from the income statement and from an examination of the accounts in the ledger for 2018 are as follows: a. Net income, $343,310. b. Depreciation reported on the income statement, $83,570. C. Equipment was purchased at a cost of $163,630, and fully depreciated equipment costing $45,700 was discarded, with no salvage realized. d. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty. e. 10,000 shares of common stock were issued at $19 for cash. X Instructions Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows: a. Net income, $343,310. b. Depreciation reported on the income statement, $83,570. C. Equipment was purchased at a cost of $163,630, and fully depreciated equipment costing $45,700 was discarded, with no salvage realized. d. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty. e. 10,000 shares of common stock were issued at $19 for cash. f. Cash dividends declared and paid, $154,190. Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from (used for) operating activities. Be sure to complete the heading of the statement. Refer to the Labels and Amount Descriptions list provided for the exact wording of the