Consultex, Inc., was founded in 2015 as a small financial consulting business. The company had done reasonably well in 2015-2017 but started noticing its cash dwindle early in 2018. In January 2018, Consultex had paid $16,000 to purchase land and repaid $2,000 principal on an existing promissory note. In March, the company paid $2,000 cash for dividends and $1,000 to repurchase and eliminate Consultex stock that had previously been issued for $1,000. To improve its cash position, Consultex borrowed $5,000 by signing a new promissory note in May and also issued stock to a new private investor for $12,000 cash. Year-end comparative balance sheets and income statements are presented below. CONSULTEX, INC. Balance Sheet October 31 2018 2017 $11,000 $14,000 14,000 12,000 2,000 3,000 26,000 10,000 $53,000 $39,000 Assets Cash Accounts Receivable Prepaid Rent Land Total Assets Liabilities and Stockholders' Equity Salaries and Wages Payable Income Taxes Payable Notes Payable (long-term) Common Stock Retained Earnings Total Liabilities and Stockholders' Equity $ 2,000 $ 3,000 1,000 1,000 15,000 12,000 20,000 9,000 15,000 14,000 $53,000 $39,000 CONSULTEX, INC. Income Statement For the Year Ended October 31 2018 2017 Sales Revenue $ 158,000 $161,000 Salaries and Wages Expense 98,000 97,000 Rent Expense 36,000 30,000 Utilities Expenses 19,700 20,000 Income before Income Tax Expense 4,300 14,000 Income Tax Expense 1,300 4,200 Net Income $ 3,000 $ 9,800 Required: Required: 1. Prepare a properly formatted Statement of Cash Flows for Consultex, Inc., for the year ended October 31, 2018 (using the indirect method). (Amounts to be deducted should be indicated with a minus sign.) CONSULTEX, INC. Statement of Cash Flows For the Year Ended October 31, 2018 Cash Flows from Operating Activities: Changes in Current Assets and Current Liabilities Cash Flows from Investing Activities: Cash Flows from Financing Activities