The following financial statements were issued by Hoskins Corporation for the fiscal year ended December 31, 2018. All amounts are in millions of U.S. dollars.

Balance Sheets
		December 31, 2017	December 31, 2018
	Assets
	Cash	$300	$550
	Accounts Receivable	600	1,500
	Inventory	400	500
	Prepaid Expenses	400	150
	Current Assets	1,700	2,700
	Property, Plant and Equipment at Cost	6,200	6,100
	Less Accumulated Depreciation	(2,100)	(1,750)
	Property, Plant and Equipment, Net	4,100	4,350
	Total Assets	$5,800	$7,050
	Liabilities and Shareholders Equity
	Accounts Payable	$400	$800
	Income Tax Payable	200	100
	Short-Term Debt	1,200	2,700
	Current Liabilities	1,800	3,600
	Long-Term Debt	1,000	0
	Total Liabilities	2,800	3,600
	Contributed Capital	800	800
	Retained Earnings	2,200	2,650
	Total Shareholders Equity	3,000	3,450
	Total Liabilities and Shareholders Equity	$5,800	$7,050

Income Statement
			Fiscal year 2018
	Sales Revenues		$6,500
	Cost of Goods Sold		3,400
	Gross Profit		3,100
	Selling, General and Administrative Expenses		1,450
	Depreciation Expense		350
	Operating Income		1,300
	Interest Expense		350
	Income Before Income Tax Expense		950
	Income Tax Expense		250
	Net Income		$700

Additional information: 1. During fiscal year 2018, Hoskins Corporation acquired new equipment for $1,200 in cash. In addition, the company disposed of used equipment that had original cost of $1,300 and accumulated depreciation of $700, receiving $600 in cash from the buyer. 2. During fiscal year 2018, Hoskins Corporation arranged short-term bank financing and borrowed $1,500, using a portion of the cash to repay all of its outstanding long-term debt. 3. During fiscal year 2018, Hoskins Corporation engaged in no transactions involving its common stock, though it did declare and pay in cash a common stock dividend of $250.

Prepare a statement of cash flows (all three sections) for Hoskins Corporations fiscal year 2018, using the indirect method for the cash from operations section.

Note: Use a negative sign with your answer to indicate a reduction in cash/cash outflow.

HOSKINS CORPORATION STATEMENT OF CASH FLOWS FOR YEAR ENDED DECEMBER 31, 2018
	Cash flows from Operations:
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Adjustments:
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Change in accounts receivable	Answer
	Change in inventory	Answer
	Change in prepaid expenses	Answer
	Change in accounts payable	Answer
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Cash Flows from Operating Activities	Answer
	Cash Flows from Investing:
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Proceeds from disposal of equipment	Answer
	Cash Flows from Investing Activities	Answer
	Cash Flows from Financing
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Increase in short-term debt	Answer
	Decrease in long-term debt	Answer
	Cash Flows from Financing Activities	Answer
	Net change in cash	Answer
	AnswerNet incomeDepreciationChange in income taxes payablePurchase of equipmentDividends paidBeginning cash balanceDecrease in long-term debt	Answer
	Ending cash balance	Answer