37. On December 28,^,2018, Twobly Company sold equipment with a historical cost of $60,000 and accumulated depreciation of $38,000 for $25,000. How would Twobly report this transaction on the Statement of Cash flows?

As a cash inflow of $25,000 for investing activities and a decreasing adjustment to the operating section for $3,000.

As a cash inflow of $22,000 for operating activities and an increasing adjustment to the operating section for $3,000.

As a cash outflow of $60,000 for investing activities and a cash inflow of $25,000 for operating activities

As a cash inflow for $25,000 for investing activities and a cash outflow of $22,000 for operating activities.