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Statement of Cash Flows (Direct Method) The Towne Compary's incoene statement and comparative balance sheets as of December 31 of 2013 and 2012 follow. During the year, the following transactions occurred: 1. Sold equipment for $11,700 cash that orsinally cost 524,700 and hisd 53,900 sccumulared depreciatin 2. Sold long term investments that had cost 591,000 for $113,100cagh Unreaized gains totalng 513,000 relaged to these investments had beenirecorded in earlier years. AE yes. end, the fair while adjustmens and unrealized gain account balances were eliminated. 3. Paid cash to extend the compary's exclusve franchise for another three years. 4. Paid off a note payable at the bank on jancary 1 5. Declared and paid a $19.500 dvidend. 6. Purchased tressury slock for cash, 7. Acquired land valued at 578,000 by issung 7,800 thares of cammon stock: Requened. a. Compute the change in cath that occurred in 2013 1. Frenare a statement of cash flows using the drect method Use one cash outlow for "cash paid for wages and ceher operating eepenses." Accounts payable relates to inwensory purchases onfy a. Change in crsh durirg 2013 b. Use a negative sign with cagh outflow ariswers. Durint the year, the folowing vansactions occurres, 1. Sols fouphnit for 311,700 cash than orgnaly coit $24,700 and had $3.900 accumulated depreciation adgughent and urrealseel faic frcour balances were elminated. 4. Padell a ncte payable at the bank on january 1. 5. Dectared and paid a 112500 dosernd. 6. Purchaned veasury stock foreash 7 Acqueed land valued at 178.000 by issuing 7.100 shares of cornmon stock Alpopent a. Curopute the daluge n cash that occurred in 2013 a. Charge in Cash duting 20031

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