*Problem 17-9A (b) (direct method) Condensed financial data follow for Crane Ltd. E- Perform reports under ASPE. CRANE LTD. Balance Sheet December 31 Assets 2017 2016 Cash $102,580 $48,000 Accounts receivable 75,600 44,600 Inventory 128,600 92,600 Prepaid expenses 37,300 27,200 Long-term investments 128,400 114,400 Property, plant, and equipment 270,700 241,400 Accumulated depreciation (53,000) (53,800) Total assets $690,180 $514,400 Liabilities and Shareholders' Equity Accounts payable $91,900 $78,300 Accrued expenses payable 11,300 6,100 Notes payable 123,500 157,800 Common shares 241,400 185,600 Retained earnings 222,080 86,600 Total liabilities and shareholders' equity $690,180 $514,400 CRANE LTD. Income Statement Year Ended December 31, 2017 Sales $494,100 Cost of goods sold 185,000 Gross profit 309,100 Operating expenses $58,800 Depreciation expense 46,400 Loss on sale of equipment 7,710 112,910 Profit from operations 196,190 Other expenses Interest expense 3,580 Profit before income tax 192,610 Income tax expense 44,500 Profit $148,110Additional Information: . New equipment costing $88,100 was purchased for $30,900 cash and a $57,200 note payable. . Equipment with an original cost of $58,800 was sold at a loss of $?.?10. . Notes payable matured during the year and were repaid. . A long-term investment was acquired for cash. . Accounts payable relate only to merchandise creditors. . Accrued expenses payable and prepaid expenses relate to operating expenses. mU'I-hthl-l Prepare the operating section of the cash flow statement using the direct method. [Show amounts that decrease cash ow with either.) - sign 2.9. -1 5,000 or in parent-hats e.g. (15,000).) CRANE LTD. Cash Flow Statement (PartiaI)Direct Method