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The following changes took place last year in Pavolik Company's balance sheet accounts: Asset and Contra-Asset Accounts Liabilities and Stockholders' Equity Accounts Cash $ 5D

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The following changes took place last year in Pavolik Company's balance sheet accounts: Asset and Contra-Asset Accounts Liabilities and Stockholders' Equity Accounts Cash $ 5D Accounts payable Accounts receivable 5 35 1 $ 1101 Inventory Accrued liabilities $ 4D $ 70 D Income taxes payable Prepaid expenses $81 $91 Bonds payable Long-term investments $ 150 1 $ 6D Common stock Property, plant, and equipment $ 80 D $ 185 I Retained earnings Accumulated depreciation $ 54 1 $ 601 D = Decrease; 1 = Increase Long-term investments that cost the company $6 were sold during the year for $16 and land that cost $15 was sold for $9. In addition, the company declared and paid $30 in cash dividends during the year. Besides the sale of land, no other sales or retirements of plant and equipment took place during the year, Pavolik did not retire any bonds during the year or issue any new common stock. The company's income statement for the year follows: Sales $ 700 Cost of goods sold 400 Gross margin 300 Selling and administrative expenses 184 Net operating income 116 Nonoperating items: Loss on sale of land $(6) Gain on sale of investments 10 4 Income before taxes 120 Income taxes 36 Net income $ 84 The company's beginning cash balance was $90 and its ending balance was $85. Required: 1. Use the indirect method to determine the net cash provided by operating activities for the year Dronare a catamant of each floure for the voar the company declared and paid $30 in cash dividenas dunng the year. Besides the sale of land, no other sales or retirements of plant and equipment took place during the year. Pavolik did not retire any bonds during the year or issue any new common stock The company's income statement for the year follows: Sales $ 700 Cost of goods sold 400 Gross margin 300 Selling and administrative expenses 184 Net operating income 116 Nonoperating items: Loss on sale of land $16) Gain on sale of investments 10 4 Income before taxes 120 Income taxes 36 Net income $ 84 The company's beginning cash balance was $90 and its ending balance was $85 Required: 1. Use the indirect method to determine the net cash provided by operating activities for the year 2. Prepare a statement of cash flows for the year Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a statement of cash flows for the year. (List any deduction in cash and cash outflows as negative amounts.) Pavolik Company Statement of Cash Flows Operating activities: Net cash provided by operating activities Investing activities IS 130 9 Loss on sale of land Gain on sale of long-term investments Additions to property, plant & equipment Net cash provided by operating activities Financing activities Cash dividends paid Issuance of bonds payable Decrease in accounts payable 16 (200) * * * (175) O (30) 150 (80) Beginning cash and cash equivalents Ending cash and cash equivalents 40 (5) 90 85

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