A catering company reported the following financial statements and information for two successive years: Additional financial information:
1. In Year 0007, the building that was previously rented was purchased for $150,000. The company paid $10,000 cash and assumed a longterm mortgage for $140,000. Depreciation on the building is $7,500 for Year 0007. At the end of Year 0007, $7,100 of the mortgage payable was reclassified as a current liability payable in Year 0008.
2. New stock was issued for cash, 200 shares at $50.00 each.
The equipment accoumulated depreciation account is shown below
Calculate the changes in working capital and prepare the companyâ€™s statement of sources (inflows) and uses (outflows) for the year ended December 31, 0008.