Answer:
Cash flow from operating activities
Net income $352,000
<u><em>Adjustment to reconcile net income to </em></u>
<u><em>net Cash flow from operating activities</em></u>
Depreciation expense $26,350
Loss on investment sold $15,500
Decrease account receivable $7,750
Decrease current liabilities <u>-$26,350</u>
Net cash flow from operating activities $348,250
Cash flow from investing activities
Sale of investment $12,100
Purchase of equipment -<u>$89,900</u>
Net cash used investing activities -<u>$77,800</u>
Cash flow from financing activities
Dividend paid -$66,000
Net cash used financing activities -<u>$66,000</u>
Net cash increase (decrease) $204,450
Beginning Cash <u>$120,900</u>
Ending Cash <u>$325,350</u>
