The following changes took place last year in Pavolik Companys balance sheet accounts:

Long-term investments that cost the company $12 were sold during the year for $28 and land that cost $27 was sold for $15. In addition, the company declared and paid $9 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 companys income statement for the year follows:

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.

Complete this question by entering your answers in the tabs below.

Required 2

Liabilities and Stockholders' Equity Accounts Asset and Contra-Asset Accounts Cash Accounts receivable Inventory Prepaid expenses Long-term investments Property, plant, and equipment Accumulated depreciation $ 11 D Accounts payable s 15I Accrued liabilities $40 D Income taxes payable $ 10I Bonds payable $ 12 D Common stock $ 260 I Retained earnings $ 55 I $ 35 I $ 15 D $ 20 I $132 I $ 60 D $ 55 I D = Decrease;-Increase