The unclassified SFP accounts forOrioleCorporation, which is a public company using IFRS, for the year ended December 31, 2019, and its statement of comprehensive income and statement of cash flows for the year ended December 31, 2020, are as follows:

Note 1.Non-cash investing and financing activities

(a)During the year, land was acquired for $42million in exchange for $21million in cash and a $21-million, four-year, 10% note payable to the seller.(b)Equipment was acquired through a finance lease that was capitalized initially at $85million.

Additional information:

1.The investment income representsOriole's reported income from its 35%-owned associate Stoker Inc.Oriolereceived a dividend from Stoker during the year.

2.Early in 2020,Oriolepurchased shares for $25million as an FV-NI investment. There were no sales of these shares during 2020, nor were any dividends received from this investment.

3.Equipment that originally cost $70million became unusable due to a flood. Most major components of the equipment were unharmed and were sold together for $10million.Oriolehad no insurance coverage for the loss because its insurance policy did not cover floods.

4.Reversing differences in the year between pre-tax accounting income and taxable income resulted in an increase in future taxable amounts, causing the deferred tax liability to increase by $2million.

5.On December 30, 2020, land costing $42million was acquired by paying $21million cash and issuing a $21-million, four-year, 10% note payable to the seller. No repayments of principal were made on the note during 2020.

6.Equipment was acquired through a 15-year financing lease. The present value of minimum lease payments was $85million when signing the lease on December 31, 2020.Oriolemade the initial lease payment of $2million on January 1, 2021.

7.Serial bonds with a face value of $58million were retired at maturity on June 20, 2020. In order to finance this redemption and have additional cash available for operations,Orioleissued preferred shares for $71million cash.

8.In February,Orioleissued a 4% stock dividend at the shares' fair value (4 million shares). The market price of the common shares was $8.00per share at the date of the declaration of the dividend.

9.In April 2020, 1 million common shares were repurchased for $8million. The weighted average original issue price of the repurchased shares was $11million.

A. Prepare the unclassified statement of financial position accounts forOrioleCorporation for the year ended December 31, 2020, as a check on the statement of cash flows. Add whichever accounts you consider necessary.

B. Prepare the operating activities section of the statement of cash flows forOrioleCorporation using the direct method.

ORIOLE CORPORATION Statement of Financial Position Accounts December 31, 2019 ($ in millions) Cash Accounts receivable Inventory Prepaid expenses Investment in associate, Stoker Inc. Land Buildings and equipment Accumulated depreciationbuildings and equipment Patents Accumulated amortizationpatents Goodwill Total assets Accounts payable Salaries and wages payable Bond interest payable Income tax payable Deferred tax liability Bonds payable Common shares Retained earnings Total liabilities and shareholders' equity 255 495 216 $1,066 ORIOLE CORPORATION Statement of Income Year Ended December 31, 2020 ($ in millions) Revenues: Sales revenue $405 Unrealized gain on FVNl investments 5 Investment income from associate 10 $420 Expenses and losses: Cost of goods sold 165 Administrative expenses 24 Salaries and wages expense 63 Depreciation and amortization expense 21 Bond interest expense 32 Loss on damaged equipment 17 Loss on impairment of goodwill 19 341 Income before income tax 79 Income tax 23 Net income $56 ORIOLE CORPORATION Statement of Cash Flows (Indirect Method) For the Year Ended December 31, 2020 ($ in millions) Cash flows from operating activities Net earnings $56 Add back (deduct) non-cash revenues and expenses: Investment income from associate Stoker Inc. (10 ) Dividends received from associate Stoker Inc. 6 Loss on damaged equipment 17 Depreciation expense 20 Unrealized gain on FV-NI investments (5 ) Amortization of patent 1 Amortization of bond discount N Loss on impairment of goodwill 19 50 Add (deduct) changes in non-cash working capital: Decrease in accounts receivable 2 Purchase of FV-NI investments (25 ) Increase in inventories (4 ) Decrease in prepaid expenses 3 Decrease in accounts payable (13 Decrease in salaries and wages payable (6 ) Increase in deferred tax liability 2 Increase in bond interest payable 3 Decrease in income taxes payable (3 (41 ) Net cash provided by operating activities 65 Cash flows from investing activities: Proceeds from disposal of damaged equipment 10 Purchase of land (Note 1) (21 ) Net cash used by investing activities (11 ) Cash flows from financing activities: Dividends paid (6 ) Redemption of serial bonds (58 ) Issuance of preferred shares 71 Repurchase of common shares (8 ) Net cash used by financing activities (1 ) Net increase in cash 53 Cash, January 1, 2020 25 Cash, December 31, 2020 $78