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The Diversified Portfolio Corporation provides investment advice to customers. A condensed income statement for the year ended December 31, 2021, appears below: Service revenue Operating

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The Diversified Portfolio Corporation provides investment advice to customers. A condensed income statement for the year ended December 31, 2021, appears below: Service revenue Operating expenses Incore before income taxes Income tax expense Set income $ 1.220.000 900.000 320.000 80.000 $ 240.000 The following balance sheet information also is available: Cash Accounts receivable Accrued liabilities (for operating expenses) Incese taxes payable 12/31/2021 $ 455.000 160.000 110,000 30,000 12/31/2020 $ 90.000 120,000 80,000 55.000 In addition, the following transactions took place during the year 1. Common stock was issued for $140,000 in cash 2. Long-term investments were sold for $70,000 in cash. The original cost of the investments also was $70,000 3. $100,000 in cash dividends was paid to shareholders 4. The company has no outstanding debt, other than those payables listed above. 5. Operating expenses include $50,000 in depreciation expense. Required: 1. Prepare a statement of cash flows for 2021 for the Diversified Portfolio Corporation. Use the direct method for reporting operating activities. 2. Prepare the cash flows from operating activities section of Diversified's 2021 statement of cash flows using the indirect method Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a statement of cash flows for 2021 for the Diversified Portfolio Corporation. Use the direct method for reporting operating activities. (Amounts to be deducted should be indicated with a minion) DIVERSIFIEO PORTFOLIO CORPORATION Complete this question by entering your answers in the tabs below. Required 1 Required 2 04.10.29 Prepare a statement of cash flows for 2021 for the Diversified Portfolio Corporation. Use the direct method for reporting operating activities. (Amounts to be deducted should be indicated with a minus sign.) DIVERSIFIED PORTFOLIO CORPORATION Statement of Cash Flows For the Year Ended December 31, 2021 Cash flows from operating activities Cash paid for income taxes eBook Print ferences 0 Net cash flows from operating activities Cash flows from investing activities. Da Net cash flows from Investing activities Cash flows from financing activities 0 0 Net cash flows from financing activities Increase in cash Cash and cash equivalents, January 1 Cash and cash equivalents, December 31 5 0 {Regured Required 2 > Required: 1. Prepare a statement of cash flows for 2021 for the Diversified Portfolio Corporation. Use the direct method for reporting operating activities 2. Prepare the cash flows from operating activities section of Diversified's 2021 statement of cash flows using the indirect method Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the cash flows from operating activities section of Diversified's 2021 statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) DIVERSIFIED PORTFOLIO CORPORATION Statement of Cash Flows (Partial) For the Year Ended December 31, 2021 Cash flows from operating activities Adjustments for noncash effects Changes in operating assets and liabilities: Net cash flows from operating activities 5 0

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