QUESTION 3 (25) A comparative balance sheet for B.C. Ltd. is presented as follows Balance Sheet 2021 2020 Assets $ $ Cash 300 490 Accounts receivable 1,020 410 Inventory 1,380 1,580 Equipment 5,150 3,190 Less Accum. Depreciation (800) (1,000) 830 90 1,600 370 80 770 Liabilities Accounts payable Accrued expense Bonds payable (Long-term) Shareholder's Equity Common shares Retained earings 3,510 1,020 2,590 860 Income Statement Revenues Sales 2021 $ 13,330 2020 $ 11,280 Expenses and others Cost of goods sold Other expenses Depreciation expense Loss on sale of old equipment Net income 9,620 1,950 180 350 8,550 1,620 160 0 1,230 950 During 2021, the company sold some of their old equipment. $2,900 of new equipment items were acquired by issuing common shares of 5600, and the balance paid with cash. Optional table (no marks will be given to this table) 2020 + 2021 Cash Accounts Receivable Inventory Equipment Accumulated Dep Accounts Payable Accrued Expenses Bonds Payable Common Shares Retained Earnings Required: Use Direct method to prepare in good for the 2021 Statement of Cash Flows for the company (Cash flows from operating activities and financing activities ONLY) S $