W-Panic Enterprises, Inc. (WPEI) shows the following balance sheet and income statement information. Assume an average tax rate of 30% for WPEI.

Balance Sheet 2012 2013 Income Stmt. 2013

Assets Sales $18,000

Cash $1,120 $1,250 - Cost of Goods Sold -$9,800

Accts. Receivable $2,380 $2,900 - SG&A Expenses -$1,100

Inventory $800 $440 - Marketing Expenses -$1,000

Net Fixed Assets $5,500 $6,360 - Depreciation Exp. -$1,500

Liabilities Operating Income $4,600

Accounts Payable $1,600 $1,500 - Interest Exp. -$1,200

Taxes Payable $300 $850 Taxable Income $3,400

Long-term Notes $1,800 $1,250 - Tax Expense* -$850

Long-term Bonds $1,000 $1,450 Net Income $2,550

Owners Equity - Dividend Exp. -$2,750

Common Stock $4,000 $5,000

Retained Earnings $1,100 _ _ _ _

* the average tax rate is 25%

(a) Calculate Total Assets for 2012 and 2013. (b) Calculate Total Liabs for 2012 and 2013. (c) Calculate Retained Earnings on the balance sheet for 2013. (d) Create the Statement of Cash Flows for 2013-all three contributing areas (Net Cash from Operarations;Net Cash from Investing Activities and Net Cash from Financing Activities.) Note: The Statement of CF is different from the CF from Assets, and CF to Creditors and Stockholders covered in Chptr 2.