The comparative balance sheet of Cromme Inc. for December 31, 2016 and 2015, is as follows:

1		Dec. 31, 2016	Dec. 31, 2015
2	Assets
3	Cash	$625,820.00	$586,050.00
4	Accounts receivable (net)	227,530.00	209,880.00
5	Inventories	641,480.00	616,920.00
6	Investments	0.00	240,910.00
7	Land	327,510.00	0.00
8	Equipment	704,830.00	554,110.00
9	Accumulated depreciation-equipment	(165,750.00)	(148,570.00)
10	Total assets	$2,361,420.00	$2,059,300.00
11	Liabilities and Stockholders Equity
12	Accounts payable (merchandise creditors)	$424,970.00	$405,330.00
13	Accrued expenses payable (operating expenses)	42,810.00	51,640.00
14	Dividends payable	23,200.00	19,840.00
15	Common stock, $2 par	150,000.00	100,000.00
16	Paid-in capital: Excess of issue price over parcommon stock	417,500.00	280,000.00
17	Retained earnings	1,302,940.00	1,202,490.00
18	Total liabilities and stockholders equity	$2,361,420.00	$2,059,300.00

The income statement for the year ended December 31, 2016, is as follows:

1	Sales		$5,368,400.00
2	Cost of merchandise sold		3,305,660.00
3	Gross profit		$2,062,740.00
4	Operating expenses:
5	Depreciation expense	$17,180.00
6	Other operating expenses	1,754,452.00
7	Total operating expenses		1,771,632.00
8	Operating income		$291,108.00
9	Other income:
10	Gain on sale of investments		39,110.00
11	Income before income tax		$330,218.00
12	Income tax expense		133,998.00
13	Net income		$196,220.00

Additional data obtained from an examination of the accounts in the ledger for 2016 are as follows:

A.	The investments were sold for $280,020 cash.
B.	Equipment and purchase of 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 $95,770 debit to Retained Earnings for cash dividends declared.

Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. Be sure to complete the heading of the statement. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Use the minus sign only to indicate the net cash outflows for each section. Deduct, Less or colons (:) will automatically appear if required.

Cromme Inc.

Statement of Cash Flows

1	Cash flows from operating activities:
2
3
4
5
6
7
8	Cash flows from investing activities:
9
10
11
12
13
14	Cash flows from financing activities:
15
16
17
18
19	Cash at the beginning of the year
20	Cash at the end of the year

Labels and Amount Descriptions

Cash paid for dividends Cash paid for purchase of equipment Cash paid for purchase of land Cash paid for purchase of treasury stock Cash payments for income taxes Cash payments for merchandise Cash payments for operating expenses Cash received from customers Cash received from sale of common stock Cash received from sale of investments December 31, 2016 Decrease in cash Depreciation For the Year Ended December 31, 2016 Gain on sale of investments Increase in cash Issuance of common stock for acquisition of land Issuance of common stock for purchase of equipment Loss on sale of investments Net cash flow from financing activities Net cash flow from investing activities Net cash flow from operating activities Net cash flow used for financing activities

Net cash flow used for investing activities

Net cash flow used for operating activities