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PENROSE WA ER DISTRICT <br /> Statement of Cash Flows <br /> For the Year Ended December 31,2011 (with comparative amounts for 2010) <br /> Cash flows from operating activities 2011 2010 <br /> Cash received from customers $ 1,079,745 $ 1,044,812 <br /> Cash paid to suppliers and employees (972,121) (1,010,963) <br /> Net cash provided by operating activities 101,624 33,849 <br /> Cash flows from noncapital financing activities <br /> Taxes 145,321 142,410 <br /> Net cash provided by noncapital financing activities 145,321 142,410 <br /> Cash flows from capital and related financing activities <br /> Principal paid on long-term debt (3,160,000) (423,715) <br /> Interest paid on bonds and notes (108,089) (163,069) <br /> Loans received 3,510,000 <br /> Water tap fees 12,146 239,625 <br /> Purchase of fixed assets (2,578;270) (6,663) <br /> Net cash provided(used)by capital and related financing activities (2,324213) (353,822) <br /> Cash flows from investing activities <br /> Interest on investments 5$47 8,650 <br /> Net cash provided(used)by investing activities 5,947 8,650 <br /> Net increase(decrease)in cash (2,065,321) (168,913) <br /> Cash and cash equivalents,beginning of year 2,602, 80 2,771,893 <br /> Cash and cash equivalents_end of vear_ $ 537,65 $ 2,602,980 <br /> • <br /> Reconciliation of Operating Income to Cash Provided by Operations <br /> Operating income $ (156,'780) $ (194,945) <br /> Adjustments to reconcile operating income <br /> to net cash provided by operating activities: <br /> Depreciation and amortization 141,553 159,435 <br /> Decrease(increase)in inventory 3,595 - <br /> Decrease(increase)in accounts receivable (17,402) 4,290 <br /> Decrease(increase)in prepaid costs 29,591 (14,222) <br /> Increase(decrease)in accounts payable 74,251 (49,534) <br /> Increase(decrease)in accrued expenses 32,$16 (382) <br /> Net cash provided by operating activities $ 107,624 $ (95,358) <br /> Reconciliation of Cash Shown on the Statement of Net Assets to Cash and Cash Equivalents at the End <br /> of the Year as Shown Above <br /> Unrestricted cash and cash equivalents on the Statement of Net Assets $ 350,409 $ 2,055,540 <br /> Restricted cash and cash equivalents on the Statement of Net Assets 187,250 547,440 <br /> Total cash and cash equivalents as shown above $ 537,659 $ 2,602,980 <br /> The accompanying notes are an integral part of the financial statements. <br /> 10 <br />