The comparative balance sheets for 2018 and 2017 are given below for Surmise Company. Net income for 2018 was $54 million SURMISE COMPANY Comparative Balance Sheets December 31, 2018 and 2017 (s in millions) 2018 2017 Assets Cash Accounts receivable 43 49 80 76 Less: Allowance for uncollectible accounts Prepaid expenses Inventory Long-term investment Land Buildings and equipment 169 51 72 297 160 25 72 Less: Accumulated depreciation Patent (97) (82) 14 $ 619 524 Liabilities Accounts payable Accrued liabilities Notes payable Lease liability Bonds payable Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings $5 15 51 93 50 205 155 619 524 56 249 150 Requirec Prepare the statement of cash flows of Surmise Company for the year ended December 31, 2018. Use the indirect method to present cash flows from operating activities because you do not have sufficient information to use the direct method. You will need to make reasonable assumptions concerning the reasons for changes in some account balances. A spreadsheet or T-account analysis will be helpful. (Hint: The right to use a building was acquired with a seven-year lease agreement. Annual lease payments of $9 million are paid at January 1 of each year starting in 2018) (Enter your answers in millions (i.., 10,000,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) SURMISE COMPANY Statement of Cash Flows For year ended December 31, 2018 ($ in millions) Cash flows from operating activities: Net income Adjustments for noncash effects: Changes in operating assets and liabilities: Net cash flows from operating activities Cash flows from investing activities: Cash flows from financing activities: Net cash flows from financing activities Net decrease in cash Noncash investing and financing activities