Statement of Cash Flows-Direct Method The comparative balance sheet of Canace Products Inc. for December 31, 2016 and 2015, is as follows: Assets Cash Accounts receivable (net) Inventories Investments Land Equipment Accumulated depreciation-equipment Total assets Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Dividends payable Common stock, $10 par Dec. 31, 2016 Dec. 31, 20YS $266,090 $248,960 96,400 89,410 272,130 264,750 0 102.560 139,570 300,230 234,050 (70,290) (63,120) $1,004,130 $876,610 $181,750 $172,690 18,070 22,790 10.040 7,890 54,220 42.950 203,840 119,220 536,210 511,070 $1,004,130 $876,610 Excess of paid-in capital over par Retained earnings Total liabilities and stockholders' equity The income statement for the year ended December 31, 2016, is as follows: Sales Cost of merchandise sold Gross profit Operating expenses $1.462.730 602,300 $860,430 Depreciation $7,170 Other operating expenses 759.630 Total operating expenses 766,800 Operating income $93.630 Other expense: Loss on sale of investments Income before income tax Income tax expense Net income (27,690) $65.940 21,100 $44,840 Additional data obtained from an examination of the accounts in the ledger for 2016 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $74,870 cash. d. The common stock was issued for cash. e. There was a $19,700 debit to Retained Earnings for cash dividends declared. Required: Prepare a statement of cash flows, using the direct 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. Canace Products Inc. Statement of Cash Flows For the Year Ended December 31, 2016 Cash flows from (used for) operating activities: Net cash flows from operating activities Cash flows from (used for) investing activities: Not cash flows used for investing activities Cash flows from (used for) financing activities: Net cash flows from financing activities Cash balance, January 1, 2016 Cash balance, December 31, 2016 0000 0 0