Data for Sinjh SA are presented in P13-9A. Further analysis reveals that accounts payable pertain to merchandise creditors.

Instructions
Prepare a statement of cash flows for Sinjh using the direct method.

SINJH SA Comparative Statements of Financial Position December 31 2017 265,000 (47,000) 140,000 29,300 112,500 92,800 100,350 692,950 Assets 2016 Equipment Accumulated depreciation-equipment Long-term investments Prepaid expenses Inventory Accounts receivable Cash 242,500 (52,000) 114,000 26,000 102,850 33,000 48,400 514,750 Total Equity and Liabilities Share capital-ordinary Retained earnings Bonds payable Accounts payable Accrued expenses payable 220,000 234,450 110,000 112,000 16,500 692,950 175,000 105,450 150,000 67,300 17,000 514,750 Total SINJH SA Income Statement For the Year Ended December 31, 2017 Sales revenue Gain on disposal of plant assets Less 392,780 5,000 397,780 135,460 Cost of goods sold Operating expenses, excluding depreciation Depreciation expense Income tax expense Interest expense 12,410 45,000 27,280 4,730 224,880 172,900 Net income