You must use an Excel spreadsheet for your answer. Be sure to show all computations in order to receive full credit. Based on an analysis of the financial statements, the following information is available for the Ready-To-Do Corporations cash flows for the year ended November 31, 2006. 1) Cash sales for the year where $1,000,000. 2) Credit sales for the year were $2,500,000. 80% of the credit sales were collected in the current year. 3) Last years uncollectible accounts receivable were $30,000. 4) Collections from last years accounts receivable were $120,000. 5) Net income reported was $250,000. 6) Depreciation and amortization expenses reported were $100,000. 7) The book value of assets sold this year was $50,000. There was a $5,000 loss on the sale reported. 8) Cash payments to creditors, employees, etc. were $2,500,000. 9) The accrued payroll at year end was $10,000. 10) Income taxes paid this year were $40,000. 11) Fixed assets purchased this year were $200,000. 25% of the purchase was made in cash, the remaining 75% was financed by a bank loan and paid directly to the seller. 12) Note receivable collections for the year were $50,000, $45,000 for the principal and $5,000 for the interest. 13) Bonds were sold in the current year in the amount of $500,000. Interest was paid in the amount of $30,000 on December 1st. 14) Loan payments made to the bank were $30,000. This included interest in the amount of $3,500. 15) Dividends in the amount of $25,000 were declared on November 15th. 16) Treasury stock was bought in October in the amount of $40,000. 17) Cash and cash equivalents at the beginning of the year was $24,500. Required: Prepare, in good form, a formal statement of cash flows for the Ready-To-Do Corporation, using the Direct Method.