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(Working with a statement of cash flows) Given the balance sheet, E, and income statement, prepare a statement of cash flows for Abrahams Manufacturing Company for the year ended January 31, 2018. Additional Information 1. The only entry in the accumulated depreciation account is for 2018 depreciation. 2. The firm paid $18,660 in common stock dividends during 2018. Complete the operating activities part of the statement of cash flows: (Round to the nearest dollar. NOTE: Input cash inflows as positive values and cash outflows as negative values.) Statement of Cash Flows Cash Flows from Operating Activities Net income $ 33,660 Adjustments Depreciation LI Increase in accounts receivable Decrease in inventory Increase in account payable Decrease in accrued liabilities Net cash provided by operating activities $ Abrahams Manufacturing Company Balance Sheet for 1/31/2017 and 1/31/2018 2017 2018 Cash $ 89,000 $ 108,000 Accounts receivable 64,000 68,800 Inventory 112,000 10,000 104,200 10,000 Prepaid expenses Total current assets $ 275,000 $ 291,000 Gross plant and equipment 238,000 (40,000) 313,000 (68,000) Accumulated depreciation $ 473,000 $ 536,000 Total assets Accounts payable $ 85,000 68,000 90,000 63,000 Accrued liabilities Total current debt $ 153,000 $ 153,000 Mortgage payable 70,000 0 Preferred stock 0 130,000 Common stock 205,000 45,000 205,000 48,00 Retained earnings $ 473,000 $ 536,000 Total debt and equity Abrahams Manufacturing Company Income Statement for the Year Ended 1/31/2018 2018 Sales $ 187,000 59,000 Cost of goods sold Gross profit $ 128,000 Selling, general and administrative expenses 47,000 28,000 Depreciation expense Operating income $ 53,000 3,500 Interest expense Earnings before taxes $ 49,500 Taxes 15,840 12,000 Preferred stock dividends $ 21,660 Earnings available to common stockholders

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