Comparative balance sheets for 2024 and 2023, a statement of income for 2024, and additional information from the accounting records of Red, Incorporated, are provided below:

Additional information from the accounting records:

During 2024, $250 million of equipment was purchased to replace $180 million of equipment (95% depreciated) sold at book value.

In order to maintain the usual policy of paying cash dividends of $70 million, it was necessary for Red to borrow $70 million from its bank.

Required:

Prepare the statement of cash flows of Red, Incorporated, for the year ended December 31, 2024, using the direct method to report operating activities.

Note: Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Cash outflows should be indicated with a minus sign.

Additional information from the accounting records: RED, INCORPORATED Statement of Cash Flows For year ended December 31, 2024 (\$ in millions)