Presented below is the comparative balance sheet for Diatessaron Inc., a private company reporting under ASPE, at December 31, 2017 and 2016:

Additional information:
1. Cash dividends of $15,000 were declared.
2. A long-term investment was acquired for cash at a cost of $101,500.
3. Depreciation expense is included in the operating expenses.
4. The company issued 10,500 common shares for cash on March 2, 2017. The fair value of the shares was $10 per share. The proceeds were used to purchase additional equipment.
5. Equipment that originally cost $30,000 was sold during the year for cash. The equipment had a carrying value of $9,000 at the time of sale.
6. The company issued a note payable for $28,000 and repaid $3,000 by year end.
Instructions
Prepare a cash flow statement for the year using the indirect method.
TAKING IT FURTHER
Is it necessary to show both the proceeds from issuing a new note payable and the partial repayment of notes payable? Or is it sufficient to simply show the net increase or decrease in notes payable, as is done with accounts payable? Explain.

DIATESSARON INC. Balance Sheet December 31 Assets Cash Accounts receivable Inventory Long-term investment Property, plant, and equipment Less: Accumulated depreciation 2017 67,000 101,000 205,000 101,500 535,000 2016 $ 98,000 75,000 155,500 460,000 (162,500)(140,000) $648,500 $847,000 Liabilities and Shareholders Accounts payable Dividends payable Income tax payabl Long-term notes payable Common shares Retained earnings $57,500 6,000 14,000 25,000 630,000 114,500 $847,000 $ 47,000 15,000 525,000 61,500 $648,500 DIATESSARON INC. Income Statement Year Ended December 31,2017 Sales Cost of goods sold Gross profit Operating expenses Loss on sale of equipment Profit from operations Interest expense Interest revenue Profit before income tax Income tax expense Profit $663,000 432,000 231,000 $147,500 3,000 150,500 80,500 3,000 (4,500) (1,500) 82,000 14,000 68,000