*Accounts may be incorrect

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Comparative balance sheet accounts of Headland Company are presented below. Additional data: 1. Equipment that cost $19,000 and was 40% depreciated was sold in 2025 . 2. Cash dividends were declared and paid during the year. 3. Common stock was issued in exchange for land. 4. Investments that cost $25,000 were sold during the year. 5. There were no write-offs of uncollectible accounts during the year. Headland's 2025 income statement is as follows. Sales Less: Cost of goods sold Gross profit Less: Operating expenses (includes depreciation expense and bad debt expense) Income from operations Other revenues and expenses Gain on sale of investments Loss on sale of equipment Income before taxes Income taxes Net income $744,500 480,500 264,000 120,000144,000 (a) Compute net cash provided by operating activities under the direct method. (Enter negative amounts using either a negative sign preceding the number es, -45 or parentheses es. (45)) Net cash flow from operating activities: HEADLAND COMPANY Statement of Cash Flows For the Year Ended December 31, 2025 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Cash Flows from Operating Activities Depreciation Expense Loss en Sale of Equipment Gain on Sale of Investments Increase in Accounts Receivable (Net) Increase in Irventory? Increase in Accounts Payabie Increase in Income Taxes Payable Net Cash Provided by Operating Activities Cash Flows from Investing Activities Sale of Investinents Purchase of Investments Purchase of Equipment Net Cash Provided by Investing Activities Cash Flows from Financing Activities Issuance of Common Stock. Cash Dividends Paid Cash Flows from Financing Activities Issuance of Common Stock Cash Dividends Paid Payment of Long-Term Notes Payable Net Cash Provided by Financing Activities Net Increase in Cash Cash, January 1,2025 Cash, December 31,2025 Noncash Investing and Financing Activities Issuance of Common Stock for Land