1.

Magna Fax, Inc

Statement Of Cashflows
For The Year Ended December 31,2005
Cash flow from operating activities:
Net profits after taxes
$10500
Depreciation
4000
Inc. In Accounts Receiveble
Inc. in Iventory
-3000
Dec. In Accounts Payable
-5000
Dec . in Accurals
-1000

-6000

-$500
Cash flow from invesment activities:
Inc. in gross fixed assets
-2000
Changes in business interest
0
-$2000
Cash flow from financing activities:
Inc . in notes payable
$10000
Inc. in long-term debts
2000
Changes in S.E
0
Dividends paid
-6500
$550
0
Net increased in cash & marketable sec.
$3000