You are researching Time Manufacturing and have found the following accounting statement of cash flows for the most recent year. You also know that the company paid $ 98 million in current taxes and had an interest expense of $ 48 million. Use the accounting statement of cash flows to construct the financial statement of cash flows.

TIME MANUFACTURING

Statement of Cash Flows

($ in millions)

Operations       

Net income ……………………………………..…..            $173 

Depreciation …………………………………...……               94

Deferred taxes ………………………………...……              19

Changes in assets and liabilities

Accounts receivable ……………………………...            – 18

Inventories ……………………………………......….              22

Accounts payable …………………………...……..              17

Accrued expenses …………………………...…….             – 9

Other ……………………………………..........……….               3

Total cash flow from operations ………….....        $301

Investing activities

Acquisition of fixed assets ………………...……..    – $215

Sale of fixed assets …………………………........….          23

Total cash flow from investing activities.…...   – $192

Financing activities

Retirement of long-term debt ……………..……    – $162

Proceeds from long-term debt sales …….....         116

Change in notes payable ………………….....……            6

Dividends ………………………………..............…….        – 86

Repurchase of stock ……………………….......…..        – 13

Proceeds from new stock issue …………….….           44

Total cash flow from financing activities …..      – $95      

Change in cash (on balance sheet) ……………         $14