The comparative statements of financial position of Mikos Inc. as at December 31, 2014 and 2015, and its statement of earnings for the year ended December 31, 2015, are presented below:

Additional information is as follows:
a. Land was sold for cash at its carrying amount.
b. The short- term investments will mature in February 2016.
c. Cash dividends were declared and paid in 2015.
d. New equipment with a cost of $ 166,000 was purchased for cash, and old equipment was sold at its carrying amount.
e. Long- term notes of $ 10,000 were paid in cash, and notes of $ 30,000 were converted to shares.

Required:
1. Prepare a statement of cash flows for Mikos Inc. for the year ended December 31, 2015. Use the indirect method to report cash flows from operating activities.
2. Assume the role of a bank loan officer who is evaluating this company€™s cash flow situation. Analyze the statement of cash flows you prepared in (1).
3. What additional information does the statement of cash flows provide that is not available on either the statement of financial position or the statement of earnings? Explain.

December 31 Short-term investments Property, plant, and equipment, net Liabilities and Shareholders' Equity Income tax payable Accrued liabilities Retained eamings MIKOS INC. Statement of Earnings For the Year Ended December 31, 2015 Amortization expense Intangible assets Depreciation expense property, plant, 39 and equipmentS Operating expenses 221,000 12,000 Eamings before income taxes Income tax expense Net earnings