The comparative balance sheet of ConnieJo Company for Years $1$ and $2$ ended December $31$ appears in condensed form as follows:

Line Item Description Year $2$ Year $1$

Assets

Cash $$45,000$ $$53,500$

Accounts receivable $($net$)51,30058,000$

Inventories $147,200135,000$

Investments $060,000$

Equipment $493,000375,000$

Accumulated depreciation$$equipment $(113,700)(128,000)$

Total Assets $$622,800$ $$553,500$

Liabilities and Stockholders' Equity

Accounts payable $$61,500$ $$42,600$

Bonds payable, due Year $40100,000$

Common stock, $$10$ par $250,000200,000$

Paid$-$in capital in excess of par$$common stock $75,00050,000$

Retained earnings $236,300160,900$

Total liabilities and stockholders' equity $$622,800$ $$553,500$

The income statement for the current year is as follows:

Line Item Description Amount Amount

Sales $$629,700$

Cost of goods sold $(341,800)$

Gross profit $$287,900$

Operating expenses:

Depreciation expense $$24,700$

Other operating expenses $75,300$

Total operating expenses $(100,000)$

Operating income $$187,900$

Other revenue and expense:

Gain on sale of investment $$5,000$

Interest expense $(12,000)$

Total other revenue and expense $(7,000)$

Income before income tax $$180,900$

Income tax expense $(64,100)$

Net income $$116,800$

Additional data for the current year are as follows:

$$ Fully depreciated equipment costing $$39,000$ was scrapped, no salvage, and equipment was purchased for $$157,000.$

$$ Bonds payable for $$100,000$ were retired by payment at their face amount.

$$ An additional $5,000$ shares of common stock were issued at $$15$ for cash.

$$ Cash dividends declared were paid, $$41,400.$

$$ All sales were on account.

Prepare a statement of cash flows, using the direct method of reporting cash flows from $($used for$)$ operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

ConnieJo Company

Statement of Cash Flows

For the Year Ended December $31,$ Year $2$

Line Item Description Amount Amount

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

$

Net cash flows from operating activities $Net cash flows from operating activities

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

$$-$ Select $-$

$-$ Select $-$

Net cash flows used for investing activities Net cash flows used for investing activities

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

$$-$ Select $-$

$-$ Select $-$

$-$ Select $-$

Net cash flows used for financing activities Net cash flows used for financing activities

$

Cash balance, January $1,$ Year $2$ Cash balance, January $1,$ Year $2$

Cash balance, December $31,$ Year $2$ $Cash balance, December $31,$ Year $2$