The comparative statements of financial position for Amaral Reis Company SA as of December 31 are presented as follows.

Additional information:
1. Operating expenses include depreciation expense of R$40,000.
2. Land was sold for cash at book value of R$20,000.
3. Cash dividends of R$20,000 were paid.
4. Net income for 2017 was R$48,000.
5. Equipment was purchased for R$95,000 cash. In addition, equipment costing R$22,000 with a book value of R$12,000 was sold for R$6,000 cash.
6. Issued 35,000 shares of R$1 par value ordinary shares in exchange for land with a fair value of R$35,000.
Instructions
Prepare a statement of cash flows for the year ended December 31, 2017, using the indirect method.

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AMARAL REIS COMPANY SA Comparative Statements of Financial Position December 31 Assets Land Equipment Accumulated depreciation-equipment Buildings Accumulated depreciation-buildings Prepaid expenses Inventory Accounts receivable Cash 2017 2016 R$145,000 228,000 (45,000) 200,000 (60,000) 18,280 154,550 46,000 62,520 R$749,350 R$130,000 155,000 (35,000) 200,000 (40,000) 21,000 142,000 62,000 45,000 R$680,000 Total Equity and Liabilities Share capital-ordinary, R$1 par Retained earnings Bonds payable Accounts payable R$195,000 208,000 300,000 46,350 R$749,350 R$160,000 180,000 300,000 40,000 R$680,000 Total