The 2020 comparative balance sheet and income statement of Perfect Supply Corp. follows: (Click the icon to view the comparative balance sheet.) (Click the icon to view the income statement.) Perfect Supply had no non-cash investing and financing transactions during 2020. During the year, there were no sales of land or equipment, no issuance of notes payable, and no repurchase of share transactions. Requirements 1. Prepare the 2020 statement of cash flows by using the direct method 2. How will what you learned in this problem help you evaluate an investment? Requirement 1. Prepare the 2020 statement of cash flows by using the direct method Start by completing the cash flows from operating activities. Then, complete each section of the statement of cash flows. (Use parentheses or a minus sign for numbers to be subtracted, for payments, and for a net decrease in cash.) Comparative balance sheet Equipment, net Total assets Current liabilities: Accounts payable Salary payable Other accrued liabilities Long-term liabilities: Notes payable Shareholders' equity: Common shares Retained earnings $35,900$1,70023,30024,000$2,50024,30011,900(800)(1,000) Print Done Perfect Supply Corp. Income Statement Year Ended December 31, 2020 Revenues: Sales revenue Expenses: Cost of goods sold Salary expense Depreciation expense Other operating expense Interest expense Income tax expense Total expenses Net income $228,800 \$. 70,700 28,100 3,900 10,800 12,000 29,500 155,000$73,800 20. During the year, there f share transactions. nethod. ch section of the statement o payments, and for a net Print Done