Question -

You are attending your first meeting as a new member of the Board of Directors of Dumm Bell Corporation, a business that makes and sells bells made of clay and metal.

The Chairman of the Board, Lou Zerr, opens the meeting expounding on the success of the past year, 2017. He announces proudly that Sales reached $25 Million for the first time, and that company assets have nearly doubled. He states that this enabled the company to pay out $60,000 in cash dividends to the company stockholders, many of whom sit on the Board. He then introduces the Chief Financial Officer, Noah Clue.

Noah produces a 2017 Income Statement showing Net Income of $200,000 for the year. He stresses that a large contributing factor to the company's profitability was careful management of expenses by the Budgeting group. For example, he points to the fact that by switching methods, only $6,000 of depreciation expense was recorded for the year. Not wishing to take up too much of the Board's valuable time, he skips going over the complete Balance Sheet, but addresses a few key items. He notes that the company's biggest Asset, Accounts Receivable, increased by $57,000 during the year, and Accounts Payable, a Liability, decreased by $89,000. He then turns the meeting over to the Chief Financial Planner, Rosie Outlook, to discuss the company's future.

Rosie talks about the company's plans for expanding its operations beyond bells into clay pots. To effect this, she has assembled a crack team of hard working Marketing people. They have already laid the groundwork for the new line by selling off an old building for $78,000 cash - a deal that resulted in the recording of a $15,000 gain on the sale. They then went forward and purchased a larger building for $94,000, paid for in cash, which will allow the company to produce the new pots in large volumes.

Mr. Zerr thanks everyone for their hard work and proposes to the Board that bonuses be given to Mr. Clue, Ms. Outlook and her crack Pot team, and himself. As the Board prepares to vote, you note that the company began the year with a $40,000 balance in Cash, and ask to see the Cash Flow Statement for 2017. Mr. Clue explains that it has not been completed, since he has just returned from a 6-week Caribbean cruise, and it would be unreasonable to expect his department to produce additional reports since they have been Clue-less for so long.

You ask for a postponement on the bonus vote until the report can be generated.

Your request is granted, but you will need to:

Prepare the Statement of Cash Flows for 2017 yourself, given the information you have. (Assume that other than the Cash account itself, the only changes applicable were those that were described above)