indicated with a minus sign.)Cash flows from operating activitiesAdjustments to reconcile net income to net cash provided by operations:Income statement items not affecting cashGOLDEN CORPORATIONStatement of Cash FlowsFor Current Year Ended December 31Changes in current assets and current liabilitiesCash flows from investing activitiesCash flows from financing activities:Net increase (decrease) in cashCash balance at December 31, prior yearCash balance at December 31, current year< Prev6 of 13HHH4+Next > Required information[The following information applies to the questions displayed below.]Golden Corporation's current year income statement, comparative balance sheets, and additional information follow. Forthe year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) allpurchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) anychange in Income Taxes Payable reflects the accrual and cash payment of taxes.AssetsCashAccounts receivableInventoryTotal current assetsEquipmentAccumulated depreciation-EquipmentTotal assetsLiabilities and EquityAccounts payableIncome taxes payableTotal current liabilitiesGOLDEN CORPORATIONComparative Balance SheetsDecember 31EquityCommon stock, $2 par valuePaid-in capital in excess of par value, common stockRetained earningsTotal liabilities and equityGOLDEN CORPORATIONIncome StatementFor Current Year Ended December 31SalesCost of goods soldGross profit$ 1,867,0001,101,000766,000509,00054,000203,00043,000$ 160,000Operating expenses (excluding depreciation)Depreciation expenseIncome before taxesIncome taxes expenseNet incomeAdditional Information on Current Year Transactionsa. Purchased equipment for $61,400 cash.b. Issued 13,500 shares of common stock for $5 cash per share.c. Declared and paid $104,000 in cash dividends.Current Year$ 179,000105,500623,500908,000375,400(165,500)$ 1,117,900$ 117,00043,000160,000610,000223,000124,900$ 1,117,900Prior Year$ 123,50086,000541,000750,500314,000(111,500)$ 953,000$ 86,00032,600118,600583,000182,50068,900$ 953,000

[The following information applies to the questions displayed below.] Golden Corporation's current year income statement, comparative balance sheets, and additional information follo the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) change in Income Taxes Payable reflects the accrual and cash payment of taxes. GOLDEN CORPORATION Comparative Balance Sheets December 31 Current Year Prior Year