Below are the comparative income statements and balance sheets for Arduous Company for the years ending on December 31, 2012 and December 31, 2013. Prepare a statement of cash flows using the INDIRECT method in good form.

ARDUOUS COMPANY Comparative Balance Sheets December 31, 2013 and 2012 ($ in millions)
	2013		2012
Assets
Cash	$	116		81
Accounts receivable		190		194
Investment revenue receivable		6		4
Inventory		205		200
Prepaid insurance		4		8
Long-term investment		156		125
Land		196		150
Buildings and equipment		412		400
Less: Accumulated depreciation		(97)		(120)
Patent		30		32
Total Assets	$	1,218		1,074
Liabilities
Accounts payable	$	50		65
Salaries payable		6		11
Bond interest payable		8		4
Income tax payable		12		14
Deferred income tax liability		11		8
Notes payable		23		0
Lease liability		82		0
Bonds payable		215		275
Discount on bonds		(22)		(25)
Shareholders Equity
Common stock		430		410
Paid-in capital excess of par		95		85
Preferred stock		75		0
Retained earnings		242		227
Less: Treasury stock		(9)		0
Total Liabilities and Equity	$	1,218	$	1,074

ARDUOUS COMPANY Income Statement For Year Ended December 31, 2013 ($ in millions)
Revenues
Sales revenue			$	410
Investment revenue				11
Gain on sale of treasury bills				2		$423
Expenses
Cost of goods sold				180
Salaries expense				73
Depreciation expense				12
Patent amortization expense				2
Insurance expense				7
Bond interest expense				28
Loss on Machine Damage				18
Income Tax Expense				36		356
Net Income				$		67

Additional information from the accounting records:
a.	Investment revenue includes the companys $6 million share of net income in a company that is accounted for with the equity method.
b.	A machine originally costing $70 million that was half way depreciated was rendered unusable by a flood. The machine parts were sold for $17 million
c.	Treasury bills were sold at a gain of $2 million. They were classified as cash equivalents.
d.	Temporary differences in taxes caused deferred income tax to increase by $3 million.
e.	The preferred stock of a company was purchased for $25 million as a long term investment.
f.	Land that cost $46 million was acquired for cash and a $23 million note (15% for 4 years).
g.	A capital lease was initiated with pv of lease payments of $82 million for the building.
h.	A 4% stock dividend (4 million shares) was given when the market price of the $5 par stock was $7.50
i.	After the stock dividend, 1 million shares were put in the treasury at a cost of $9 million
j.	$60 million in bonds were retired.

Required:

Prepare the statement of cash flows for Arduous Company using the indirect method. (Do not round your intermediate calculations. Enter your answers in millions (i.e., 10,000,000 should be entered as 10.) . Amounts to be deducted should be indicated with a minus sign.)

Show your work.

ARDUOUS COMPANY
Statement of Cash Flows
For year ended December 31, 2013
($ in millions)
Cash Flows from Operating Activities:
Net income
Add:
Less:
Net Cash Flows from Operating Activities
Cash Flows from Investing Activities:
Net Cash Flows from Investing Activities
Cash Flows from Financing Activities:
Net Cash Flows from Financing Activities
Beginning Cash Balance
Ending Cash Balance
Noncash investing and financing activities: