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13 MARKS QUESTION TWO You have been provided with the following comparative information from the December 31, 2016 Statement of Financial Position for Kabakwa Resource Management Ltd. Kabakwa Resource Management Ltd. Information from Statement of Financial Position 2016 2015 Assets $39,000 31,000 60,000 17,000 40,000 60,000 (20,000 13.000) Cash Prepaid Insurance Land Equipment at cost 73,000 13,000 18,000 70,000 193,000 195,000 11,000 21,000 19,000 40,000 115,000 21000 55000 193,000 195,000 6,000 Accounts Payable Bonds Payable Common Shares Retained Eamings Additional information for 2016: V1. Net loss for 2016 is $15,000 2. In the current year, Kabakwa Resource Management Ltd., sold land for cash resulting in a gain $6,000. This was the only land transaction during 3. Equipment with a cost of $15,000 and accumulated depreciation of 4. $12,000 of bonds were retired during the year at their carrying amount. In 5. Equipment was acquired for common shares. The fair value of the shares the year $10,000 was sold for $5,000 cash. addition, some bonds payable were issued for cash. at the time of the exchange was $25,000. REQUIRED Prepare in good form a Statement of Cash Flow for the year ended December 31, 2016. Kabakwa uses the indirect method to report cash flow from operations

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