The financial statements of Michigan Company appear below:

MICHIGAN COMPANY Comparative Balance Sheet December 31 2029 2028 Difference Assets Cash $38,000 $15,000 $23,000 Accounts Receivable 26,000 34,000 (8,000) Merchandise Inventory 30,000 15,000 15,000 Property, plant and equipment 50,000 78,000 (28,000) Accumulated depreciation (20,000) (24,000) 4,000 Total $124,000 $118,000 Liabilities and Stockholders' Equity Accounts Payable $17,000 $23,000 (6,000) Income Taxes Payable 13,000 8,000 5,000 Bonds payable, net 7,000 33,000 (26,000) Common stock 41,000 24,000 17,000 Retained earnings 46,000 30,000 16,000 Total $124,000 $118,000

MICHIGAN COMPANY Income Statement For the Year Ended December 31, 2029 Sales $400,000 Cost of goods sold 280,000 Gross profit 120,000 Wages expense 37,000 Depreciation expense 9,000 Income from operations 74,000 Gain on sale of equipment 8,000 Interest expense 4,000 Income before income taxes 78,000 Income tax expense 21,000 Net income $57,000 The following additional data were provided: Dividends were declared and paid in 2029. During the year, equipment was sold that cost $35,000. This was the only equipment sold. Purchases of equipment were made in cash. All sales and inventory purchases are on account. Accounts payable pertain to merchandise suppliers. Bonds payable of $24,000 were issued for cash at a discount of $2,000. Bonds were retired at carrying value which included a $2,000 discount.

mark you answers on those statements to the specific questions asked below.

1. Under the Indirect Method, what is the Cash Flow from Operating Activities?

2. What are the Cash Flows from Investing Activities?

3. What are the Cash Flows from Financing Activities?

4. What is the Net Change in Cash with the Indirect Method?

5. Under the Direct Method, what is Cash Received from Sales?

6. Under the Direct Method, what is Cash Paid for Merchandise?

7. Under the Direct Method, what is Cash Paid for Taxes?

8. Under the Direct Method, what is Cash paid for Wages?

9. What is the net change in cash under the Direct Method?