Kenneth Austin, chief financial officer of ReMax Wireless, is responsible for the company s…

Kenneth Austin, chief financial officer of ReMax Wireless, is responsible for the company s budgeting process. Austin s staff is preparing the ReMax cash budget for 20X7. A key input to the budgeting process is last year s statement of cash flows, which follows (amount in thousands): ReMax Wireless Statement of Cash Flows 20X6 (In thousands) Cash Flows from Operating Activities Collections from customers…………………………………. $ 60,000 Interest received………………………………………………… 100 Purchases of inventory……………………………………….. (44,000) Operating expenses……………………………………………. (13,900) Net cash provided by operations………………………. 2,200 Cash Flows from Investing Activities Purchases of equipment………………………………………. (4,300) Purchases of investments…………………………………….. (200) Sales of investments…………………………………………… 400 Net cash used for investing activities…………………. (4,100) Cash Flows from Financing Activities Payment of long-term debt………………………………….. (300) Issuance of stock……………………………………………….. 1,200 Payment of cash dividends………………………………….. (500) Net cash provided by financing a