The accounting records of Laurent Company provided the following data: Statement of Comprehensive Income For year ended 31 December 20X8 Sales $ 890,300 Cost of goods sold (534,000) Depreciation expense (13,300) Operating expenses (190,400) Net earnings and comprehensive income $ 152,600 Statement of Financial Position At 31 December 20X8 20X7 Debits Cash $ 98,800 $ Accounts receivable 51,000 53,900 Inventory 70,900 56,600 Investment, long term 8,400 168,000 Capital assets 263,700 Total debits $484,400 $286,900 Credits Bank overdraft Accumulated depreciation $ $ 14,100 41,500 28,200 41,500 Credits Bank overdraft Accumulated depreciation Accounts payable Short-term bank loan Notes payable, long term Common shares Retained earnings 35,700 11,900 101,300 $ 14,100 28,200 16,800 8,400 56,100 148,200 225,200 68,800 15,100 Total credits $ 484,400 286,900 Other information: a. Paid a $22,600 long-term note payable by issuing common shares b. Purchased capital assets that cost $95,700; gave a $67,800 long-term note payable and paid $27,900 cash, c. Sold the long-term investment at cost, for cash. d. Assume that unexplained differences in asset, lobility, and equity accounts flow from logical sources. Required: 1. Prepare the SCF, using the two-step Indirect method of presentation for the operating activities section (Deductible amounts and Cash outflows should be indicated with minus sign.) LAURENT COMPANY Statement of Cash Flows For the year 31 December 20X8 Operating activities: Net earnings Non-cash items Add: Depreciation Required: 1. Prepare the SCF, using the two-step indirect method of presentation for the operating activities section. (Deductible amounts and Cash outflows should be indicated with minus sign.) LAURENT COMPANY Statement of Cash Flows For the year 31 December 20X8 Operating activities: Net earings Non-cash items Add: Depreciation 0 Changes to working capital: Add: Decrease in accounts receivable Add: Increase in inventory Add: Increase in accounts payable Investing activities: Sold long-term investment Paid cash for capital assets 0 0 Financing activities: Increase in short-term bank loan issued common shares for cash Pald cash dividend 0 Opening cash Closing cash $ 0 2. Prepare the operating activities section of the SCF using the direct method. (Deductible amounts and Cash outflows should be Indicated with minus sign.) LAURENT COMPANY Partial Statement of Cash Flows For the year 31 December 20X8 Operating activities: Cash collected from customers Cash paid to suppliers Cash paid for other expenses Cash provided by operating activities 5 0