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Statement of Cash FlowsDirect Method

The comparative balance sheet of Canace Products Inc. for December 31, 20Y6 and 20Y5, is as follows:

		Dec. 31, 20Y6		Dec. 31, 20Y5
Assets
Cash		$234,290		$219,200
Accounts receivable (net)		84,870		78,730
Inventories		239,600		233,090
Investments		0		90,300
Land		122,890		0
Equipment		264,350		206,080
Accumulated depreciation		(61,890)		(55,570)
	Total assets	$884,110		$771,830
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors)		$160,020		$152,050
Accrued expenses payable (operating expenses)		15,910		20,070
Dividends payable		8,840		6,950
Common stock, $10 par		47,740		37,820
Paid-in capital: Excess of issue price over par-common stock		179,470		104,970
Retained earnings		472,130		449,970
	Total liabilities and stockholders equity	$884,110		$771,830

The income statement for the year ended December 31, 20Y6, is as follows:

Sales					$1,289,860
Cost of goods sold					531,100
Gross profit					$758,760
Operating expenses:
	Depreciation expense		$6,320
	Other operating expenses		669,880
		Total operating expenses			676,200
Operating income					$82,560
Other expense:
		Loss on sale of investments			(24,380)
Income before income tax					$58,180
Income tax expense					18,620
Net income					39,560

Additional data obtained from an examination of the accounts in the ledger for 20Y6 are as follows:

1. Equipment and land were acquired for cash.
2. There were no disposals of equipment during the year.
3. The investments were sold for $65,920 cash.
4. The common stock was issued for cash.
5. There was a $17,400 debit to Retained Earnings for cash dividends declared.

Required:

Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.

Canace Products Inc.
Statement of Cash Flows
For the Year Ended December 31, 20Y6
Cash flows from operating activities:
	$
Net cash flow from operating activities		$
Cash flows from investing activities:
	$
Net cash flow used for investing activities
Cash flows from financing activities:
	$
Net cash flow from financing activities
		$
Cash at the beginning of the year
Cash at the end of the year		$

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