Statement of Cash Flows-Direct Method applied to PR 16-1A The comparative balance sheet of Navaria Inc. for December 31, 20Y3 and 20Y2, is as follows: Dec. 31, Dec. 31, 20Y2 20Y3 Assets Cash $ 189,820 $ 178,070 Accounts receivable (net) 69,200 63,490 Inventories 195,060 187,560 Investments 0 72,980 Land 99,980 0 Equipment 213,170 167,850 Accumulated depreciation equipment (50,600) (45,200) Total assets $716,630 $624,750 Liabilities and Stockholders' Equity $ 129,230 Accounts payable $ 123,080 Accrued expenses payable 12,990 16,240 Dividends payable 7,000 5,600 Common stock, $1 par 38,200 29,360 Paid-in capital: Excess of issue price over par-common stock 145,300 84,970 Retained earnings 383,910 365,500 Total liabilities and stockholders' equity $716,630 $624,750 The income statement for the year ended December 31, 2043, is as follows: Sales $1,223,870 Cost of merchandise sold 752,680 Gross profit $ 471,190 Operating expenses: Depreciation expense $ 5,400 Other operating expenses 398,980 Total operating expenses 404,380 Operating income $ 66,810 Other income: Gain on sale of investments 12,200 Income before income tax $ 79,010 Income tax expense 31,600 Net income $ 47,410 Additional data obtained from an examination of the accounts in the ledger for 20Y3 are as follows: a. The investments were sold for $85,180 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $29,000 debit to Retained Earnings for cash dividends declared. Required: Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Required: Prepare a statement cash flows, using the direct method of presenting cash flows from operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments Navarla Inc. Statement of Cash Flows For the Year Ended December 31, 20Y3 Cash flows from operating activities: Net cash flow from operating activities Cash flows from (used for) Investing activities: (1) Q1 Net cash flow used for investing activities Cash flows from (used for) financing activities: Net cash flow from financing activities Cash at the beginning of the year Cash at the end of the year