1. Statement of Cash Flows

   The comparative balance sheet of Orange Angel Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows:

   		Dec. 31, 20Y8		Dec. 31, 20Y7
   Assets
   Cash		$65,790		$80,790
   Accounts receivable (net)		101,090		108,910
   Merchandise inventory		144,400		134,990
   Prepaid expenses		5,880		4,090
   Equipment		294,170		241,850
   Accumulated depreciation-equipment		(76,480)		(59,310)
   	Total assets	$534,850		$511,320
   Liabilities and Stockholders' Equity
   Accounts payable (merchandise creditors)		$112,320		$106,870
   Mortgage note payable		0		153,400
   Common stock, $1 par		18,000		11,000
   Excess of paid-in capital over par		263,000		144,000
   Retained earnings		141,530		96,050
   	Total liabilities and stockholders equity	$534,850		$511,320

   Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows:

   1. Net income, $116,430.
   2. Depreciation reported on the income statement, $37,240.
   3. Equipment was purchased at a cost of $72,390, and fully depreciated equipment costing $20,070 was discarded, with no salvage realized.
   4. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty.
   5. 7,000 shares of common stock were issued at $18 for cash.
   6. Cash dividends declared and paid, $70,950.

   Required:

   Prepare a statement of cash flows, using the indirect method of presenting cash flows from (used for) operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

   Orange Angel Enterprises Inc.
   Statement of Cash Flows
   For the Year Ended December 31, 20Y8
   Cash flows from (used for) operating activities:
   	$fill in the blank 2
   Adjustments to reconcile net income to net cash flows from (used for) operating activities:
   	fill in the blank 4
   Changes in current operating assets and liabilities:
   	fill in the blank 6
   	fill in the blank 8
   	fill in the blank 10
   	fill in the blank 12
   Net cash flows from operating activities		$fill in the blank 13
   Cash flows from (used for) investing activities:
   	$fill in the blank 15
   Net cash flows used for investing activities		fill in the blank 16
   Cash flows from (used for) financing activities:
   	$fill in the blank 18
   	fill in the blank 20
   	fill in the blank 22
   Net cash flows from financing activities		fill in the blank 23
   		$fill in the blank 25
   Cash balance, January 1, 20Y8		fill in the blank 26
   Cash balance, December 31, 20Y8		$fill in the blank 27

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