The Town of Weston has a Water Utility Fund with the following trial balance as of July 1, 2019, the first day of the fiscal year: Credits Debits $ 250,000 200,000 $ 30,000 120,000 250,000 7,000,000 Cash Customer accounts receivable Allowance for uncollectible accounts Materials and supplies Restricted assets (cash) Utility plant in service Accumulated depreciation-utility plant Construction work in progress Accounts payable Accrued expenses payable Revenue bonds payable Net position Totals 2,600,000 180,000 120,000 75,000 3,600,000 1,575,000 $8,000,000 $8,000,000 During the year ended June 30, 2020, the following transactions and events occurred in the Town of Weston Water Utility Fund: 1. Accrued expenses at July 1 were paid in cash. 2. Billings to nongovernmental customers for water usage for the year amounted to $1,380,000; billings to the General Fund amounted to $96,000. 3. Liabilities for the following were recorded during the year: Materials and supplies Costs of sales and services Administrative expenses Construction work in progress $185,000 345,000 202,000 220,000 4. Materials and supplies were used in the amount of $275,000, all for costs of sales and services. 5. After collection efforts were unsuccessful, $9,000 of old accounts receivable were written off. 6. Accounts receivable collections totaled $1,459,000 from nongovernmental customers and $48,400 from the General Fund. 7. $1,035,000 of accounts payable were paid in cash. 8. One year's interest in the amount of $175,000 was paid. 9. Construction was completed on plant assets costing $250,000; that amount was transferred to Utility Plant in Service. 10. Depreciation was recorded in the amount of $260,000. 11. The Allowance for Uncollectible Accounts was increased by $9,900. 12. As required by the loan agreement, cash in the amount of $100,000 was transferred to Restricted Assets for eventual redemption of the bonds. 13. Accrued expenses, all related to costs of sales and services, amounted to $83,000. 14. Nominal accounts for the year were closed. d. Prepare a Statement of Cash Flows for the year ended June 30, 2020. Assume all debt and interest are related to capital outlay. Assume the entire construction work in progress liability (see item 3) was paid in entry 7. Include restricted assets as cash and cash equivalents. Prepare a statement of Cash Flows for the year ended June 30, 2020. Assume all debt and interest are related to capital outlay. Assume the entire construction work in progress liability (see item 3) was paid in entry 7. Include restricted assets as cash and cash equivalents. (Deductions should be entered as a negative amount.) TOWN OF WESTON WATER UTILITY FUND Statement of Cash Flows For the Year Ended June 30, 2020 Cash Flows from Operating Activities: Cash Received from Customers Cash Paid to Suppliers $ 1,507,400 (890,000) 617,400 > 0 Net Cash Provided by Operating Activities Cash Flows from Noncapital Financing Activities: Net Cash Provided by Noncapital Financing Activities Cash Flows from Capital and Related Financing Activities: Interest Paid on Long-Term Debt Acquisition of Capital Assets (175,000) (220,000) (395,000) 0 Net Cash Used for Capital and Related Financing Activities Cash Flows from Investing Activities: Net Cash Provided from Investing Activities Net Increase in Cash and Cash Equivalents Cash and Cash Equivalents Beginning of Year Cash and Cash Equivalents End of Year 222,400 222,400 Reconciliation of Operating Income to Net Cash Provided by Operating Activities: Reconciliation of Operating Income to Net Cash Provided by Operating Activities: Operating Income Depreciation Expense Decrease in Accounts Receivables Increase in Interfund Receivables Decrease in Supplies Inventory Decrease in Accounts Payables Increase in Accrued Expenses Payable Net Cash Provided by Operating Activities 0