Your friend has been working for about a year since graduating from university. He has come to you for advice about his saving and spending habits. You have accumulated the following information on his savings and spending over the past year: Salary received over the last year, net of income tax $47,000 Rent and utilities paid 16,800 Car expenses paid 4,700 Credit card debt at the start of the year 1,350 Food, entertainment, recreation paid 7,000 Credit card debt at the end of the year 3,000 Line of credit at the start of the year 2,800 Line of credit at the end of the year 1,750 Purchase of car 21,000 Car loan at the end of the year 16,000 Cash account at the beginning of the year 800 Cash received from disposal of motorcycle Cash received from disposal of computer 1,350 140 Cash account at the end of the year 2,090 Purchase of investments (held for long-term purposes) 5,100 Student loan at the beginning of the year 17,000 Student loan at the end of the year 11,000 Purchase of new computer 2,000 Interest expense paid 1,200 (a) Prepare a statement of cash flows for your friend from information provided above using the direct method. (Show amounts that decrease cash flow with either a negative sign e.g.-15,000 or in parenthesis e.g. (15,000).) Cash Payments Statement of Cash Flows-Direct Method Year Ended $ GA $ $ Cash, Beginning of Year Cash, End of Year Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash Used by Financing Activities Net Cash Used by Investing Activities Net Cash Used by Operating Activities Net Decrease in Cash Net Increase in Cash ( Car Loan Obtained Cash Receipts from Salary Decrease in Credit Card Debt Decrease in Line of Credit Disposal of Computer Disposal of Motorcycle For Car Expenses For Food, Entertainment, and Recreation For Interest For Rent and Utilities Increase in Credit Card Debt Increase in Line of Credit Purchase of Car Purchase of Computer Purchase of Investments Repayment of Student Loan