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

Asset and Contra-Asset Accounts				Liabilities and Equity Accounts
Cash	$	30	D	Accounts payable	$	92	I
Accounts receivable	$	34	I	Accrued liabilities	$	34	D
Inventory	$	78	D	Income taxes payable	$	39	I
Prepaid expenses	$	29	I	Bonds payable	$	284	I
Long-term investments	$	31	D	Common stock	$	136	D
Property, plant, and equipment	$	545	I	Retained earnings	$	112	I
Accumulated depreciation	$	112	I

D = Decrease; I = Increase.

Long-term investments that had cost the company $31 were sold during the year for $66, and land that had cost $65 was sold for $34. In addition, the company declared and paid $28 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:

Sales			$	1,320
Cost of goods sold				586
Gross margin				734
Selling and administrative expenses				520
Net operating income				214
Nonoperating items:
Loss on sale of land	$	(31)
Gain on sale of investment		35		4
Income before taxes				218
Income taxes				78
Net income			$	140

The companys beginning cash balance was $148 and its ending balance was $118.

Required:

1.	Using the indirect method, determine the net cash provided by / used in operating activities for the year. (List any deduction in cash and cash outflows as negative amounts.)

2.	Prepare a statement of cash flows for the year. (List any deduction in cash and cash outflows as negative amounts.)

The folowing changes book place last year in Pavolik Comparry's balance sheet account Asset and Conta-Asset Accounts and Equity Accounts $ 92 I S 34 D $ 39 I S 284 I S 136 D $ 112 I 3DD Accounts payable Accounts racaivabla 34 Acouad liabilities 29 Bands payabio 64 Retaired earmings $ 78 D Income taxes payable Prepaid expenscs Lang-barm investmants Property, planit, and equipmen 9 31 D Comman stac : D = Decrease; I = Increase. Long-lerrm investments that had cost the company $31 were sold during the year for 588, and land tha had coet $65 wes sold for 534. In addition, the company declared and psid $28 in cash dividends during 1 year. Besides the sale of land, no other sales or rerements of plant and equipment took place durirg the year, Pavolik did not retire any bonds during the year or issue any naw common stock. The compary's income slalement for the year folows: Salas Cost of goods sold $1,320 585 Gross margin Selirg and administrative expense 734 520 Net operating inceme Nanaperating cems: 214 s (31) 35 Loss on salc of land Gain on sale of inveslinent Income before texes Income taxes 218 78 Net income 5 140 The company's beginning cash balance was $148 and its ending balance was $119 1. Using the indiract mathad, determine the net cash provided byused in operating achivities for the yaa (List any deduction in cash and cash outflows as negative amounts.) Statement of Cash Flows 140 Adjustments to canvert net income lo a cash basis Depreciationeceiveble Increase in accounts receivable 78 (29 Increase in prepaid expenses Increase in accounts payable Decrease in accnued labil es Increase in income taxes paysble Decrease in accrued liabil es Gain on sale oflong-tem investments Loss on sele of land 92 (34 (34 180 330 cash provided by operating activities 2. Prepare a statament of cash fows for the year. List any deduction in cash and cash outflows as negative amounts.) Statement of Cash Flows Operating acovities Investing actvities Financing activias: Beginning cash and cash equivalants Ending cash and cah cquivalcnts