Statement of Cash Flows

The comparative balance sheet of Orange Angel Enterprises Inc. at December $31,20$ Y$8$ and $20$Y$7,$ is as follows:

Dec. $31,$ Dec. $31,$

$20Y8$

$20Y7$

Liabilities and Stockholders' Equity

Accounts payable $($merchandise

creditors$)$

Mortgage note payable

Common stock, $$1$ par

$$148,900$$$141,810$

Excess of paid$-$in capital over par

Retained earnings

Total liabilities and stockholders' equity $$709,{030}_{{?}_{?}}$$$678,{540}_{{?}_{?}}$

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, $$171,420.$

b$.$ Depreciation reported on the income statement, $$49,320.$

$.$ Equipment was purchased at a cost of $$95,660,$ and fully depreciated equipment costing $$26,640$ 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.

f$.$ Cash dividends declared and paid, $$104,460.$ $$20$ for cash.

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 Year Ended December $31,20$ Y$8$

For the Year End

Cash flows fron

Adjustments to reconcile net income to net cash flows from $($used for$)$ operating activities:

Changes in current operating assets and liabilities:

Net cash flows from operating activities

Cash flows from $($used for$)$ investing activities:

$?$

Net cash flows used for investing activities

Cash flows from $($used for$)$ financing activities:

$0203,560$

$343,000-191,000$

Net cash flows from financing activities

Cash balance, January $1,20$ Y$8$

Cash balance, December $31,20$ Y$8$