1. The following comparative consolidated trial balances apply to Perella Company and its subsidiary Sherwood Company (80% control):

	12/31/17	12/31/18
Cash	$ 275,000	$ 300,800
Trading securities portfolio (at market)	160,000	120,000
Accounts receivable	350,000	379,600
Inventories	316,000	268,000
Land	95,000	180,000
Property, plant and equipment	500,000	520,000
Accumulated depreciation	(135,000)	(152,000)
Goodwill	60,000	60,000
Current liabilities	(190,000)	(154,500)
Long-term notes payable	(450,000)	(390,000)
NCI	(161,000)	(188,780)
Paid-in Capital	(660,000)	(670,000)
Retained Earnings	(195,000)	(288,120)
Treasury Stock	35,000	15,000
	$ ---	$ ---

The following is additional information for 2018:

a)	No trading securities were sold nor were any investments added to the portfolio.
b)	Land was acquired by issuing a $40,000 note and giving cash for the balance.
c)	Equipment (cost $50,000; accumulated depreciation $40,000) was sold for $3,000
d)	Dividends declared and paid: Perella 50,000; Sherwood $40,000.
e)	Consolidated net income amounted to $178,900.

Required:

Prepare the consolidated statement of cash flows for the year ended December 31, 2018, for Perella and its subsidiary.