The comparative balance sheet of Iglesias Inc. for December 31, 20Y3 and 20Y2, is as follows:

1		Dec. 31, 20Y3	Dec. 31, 20Y2
2	Assets
3	Cash	$186,000.00	$180,000.00
4	Accounts receivable (net)	540,000.00	480,000.00
5	Inventories	924,000.00	900,000.00
6	Investments	0.00	120,000.00
7	Land	600,000.00	0.00
8	Equipment	1,680,000.00	1,440,000.00
9	Accumulated depreciation-equipment	(720,000.00)	(600,000.00)
10	Total assets	$3,210,000.00	$2,520,000.00
11	Liabilities and Stockholders' Equity
12	Accounts payable	$408,000.00	$360,000.00
13	Accrued expenses payable	54,000.00	60,000.00
14	Dividends payable	36,000.00	30,000.00
15	Common stock, $4 par	840,000.00	720,000.00
16	Excess of paid-in capital over par	240,000.00	210,000.00
17	Retained earnings	1,632,000.00	1,140,000.00
18	Total liabilities and stockholders' equity	$3,210,000.00	$2,520,000.00

The income statement for the year ended December 31, 20Y3, is as follows:

1	Sales		$3,600,000.00
2	Cost of merchandise sold		1,680,000.00
3	Gross profit		$1,920,000.00
4	Operating expenses:
5	Depreciation expense	$120,000.00
6	Other operating expenses	1,140,000.00
7	Total operating expenses		1,260,000.00
8	Operating income		$660,000.00
9	Other income:
10	Gain on sale of investments		90,000.00
11	Income before income tax		$750,000.00
12	Income tax expense		150,000.00
13	Net income		$600,000.00

Additional data obtained from an examination of the accounts in the ledger for 20Y3 are as follows:

a.	The investments were sold for $210,000 cash.
b.	Equipment and 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 $108,000 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. 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 to indicate cash outflows, decreases in cash and a net cash outflow for each section, if required.

Labels and Amount Descriptions

Labels
December 31, 20Y3
For the Year Ended December 31, 20Y3
Amount Descriptions
Cash dividends
Cash paid for income taxes
Cash paid for merchandise
Cash paid for operating expenses
Cash paid for purchase of equipment
Cash paid for purchase of land
Cash received from customers
Cash received from issuing common stock
Cash received from sale of investments
Net cash flows from operating activities
Net cash flows from financing activities
Net cash flows from investing activities
Net cash flows used for operating activities
Net cash flows used for financing activities
Net cash flows used for investing activities
Net decrease in cash
Net increase in cash

Statement of Cash Flows

Prepare a statement of cash flows, using the direct method of presenting cash flows from (used for) 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 to indicate cash outflows, decreases in cash and a net cash outflow for each section, if required.

Iglesias Inc.

Statement of Cash Flows

1	Cash flows from (used for) operating activities:
2
3
4
5
6
7	Cash flows from (used for) investing activities:
8
9
10
11
12	Cash flows from (used for) financing activities:
13
14
15
16
17	Cash balance, January 1, 20Y3
18	Cash balance, December 31, 20Y3