The Extra Surplus Company's Balance Sheet for December 31, 2017 and the Income Statement for 2018 are shown below. Extra Surplus Company Balance Sheet December 31, 2017 Assets Cash $ 11,500 Accounts Receivable 5,750 Inventory 13,800 Property and Equipment, Net 23,000 $ 54,050 Liabilities and Stockholders’ Equity Accounts Payable $ 11,500 Notes Payable, Long-Term 5,750 Common Stock 23,000 Retained Earnings 13,800 $ 54,050 Extra Surplus Company Income Statement For the Year Ended December 31, 2018 Sales $ 16,900 Cost of Goods Sold 3,900 Salaries and Wage Expense 3,900 Interest Expense 1,300 Other Expenses 650 Net Income $ 7,150 Additional data: Sales were $16,900; $10,400 in cash was received from customers. Bought new land for cash, $13,000. Sold other land for its book value of $6,500. Paid $1,300 principal on the long-term note payable and $1,300 in interest. Issued new shares of stock for $13,000 cash. Cash dividends of $1,600 were declared and paid to stockholders. Paid $7,300 on accounts payable. No inventory purchases were made; other expenses were incurred on account. All wages were paid in cash. Other expenses were on account. Required: Prepare a balance sheet at December 31, 2018. Prepare the statement of cash flows using the direct method.