Comparative balance sheet accounts of Concord Inc. are presented below.

Concord Inc.

Comparative Balance Sheet Accounts

As of December $31,2025$ and $2024$ Additional data $($ignoring taxes$)$:

Net income for the year was $$41,300.$

Cash dividends declared and paid during the year were $$21,200.$

A $20\%$ stock dividend was declared during the year. $$25,000$ of retained earnings was capitalized.

Equity investments $($level of ownership is less than $20\%)$ that cost $$24,700$ were sold during the year for $$28,500.$ No

unrealized gains and losses were recorded on these investments in $2025.$

Machinery that cost $$3,700,$ on which $$750$ of depreciation had accumulated, was sold for $$2,150.$

Concord's $2025$ income statement follows $($ignoring taxes$).$

Sales revenue

Less: Cost of goods sold

Gross margin

Less: Operating expenses $($includes $$8,450$ depreciation and $$4,890$ bad debts$)$

Income from operations

Other: Gain on sale of investments

Loss on sale of machinery

Net income

$$539,900$

$\frac{380,400}{159,500}$

$121,200$

$38,300$

$$3,800$

$\frac{(800)}{\text{\$}41,300}$

$($a$)$

Compute net cash flow from operating activities using the direct method. $($Enter negative amounts using either a negative sign

preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Net cash flow from operating activities Prepare a statement of cash flows using the indirect method. $($Show amounts that decrease cash flow with either a $-$ sign e$.$g$.-15,000$

or in parenthesis e$.$g$.(15,000).)$

CONCORD INC.

Statement of Cash Flows

For the Year Ended December $31,2025$

$($Indirect Method$)$

Cash Flows from Operating Activities

Adjustments to reconcile net income to

$