Fleet Limousine Service Inc. began operations in late March 2009. At the end of 2009, the following balance sheet was prepared for Fleet.

Additional information:
a. During 2009, land was purchased for $11,000, a building was purchased for $175,000, and equipment was purchased for $233,400.
b. Depreciation expense for 2009 was $35,500.
c. The long-term note was issued for $100,000, and a principal payment of $5,000 was made during 2009.
d. Common stock was issued for $300,000 cash during 2009.
e. During 2009, there was a net loss of 17,200 and no dividends were paid.

Required:
1. Using a spreadsheet, prepare a statement of cash flows for 2009. Assume Fleet Limousine uses the indirect method.
2. Discuss whether Fleet Limousine appears to have matched the timing of inflows and outflows ofcash.

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Fleet Limousine Service Inc. Balance Sheets December 31, 2009 ASSETS Current assets Cash Accou Supplies inventory $ 7,200 15,900 3,100 unts receivable 26,200 15,000 Total current assets Long-term investments Property, plant, and equipment: Land Building Equipment $11,000 175,000 233,400 $419,400 Accumulated depreciation Net property, plant, and equipment 383,900 $425,100 Total assets LIABILITIES AND EQUITY Current liabilities Accounts payable Unearned revenue Salaries payable Rent payable $12,700 21,800 4,600 8,200 Total current liabilities $ 47,300 Long-term liabilities Long-term notes payable 95,000 $142,300 Total liabilities Equity: $300,000 (17,2 Common stock Retained earnings Total equity Total liabilities and equity 282,800 $425,100