Davidson Company has the following comparative balance sheet data available:

	12/31/2021	12/31/2020
Cash	$50,000	$80,000
Accounts receivable, net	150,000	100,000
Inventory	100,000	70,000
Prepaid rent	30,000	10,000
Total current assets	$330,000	$260,000
Equipment	$400,000	$200,000
Accumulated depreciation	(60,000)	(50,000)
Total Assets	$670,000	$410,000
Accounts payable	$50,000	$40,000
Salaries payable	40,000	40,000
Bonds payable	0	50,000
Common stock, $10 par	350,000	100,000
Retained earnings	230,000	180,000
Total liabilities & stockholders' equity	$670,000	$410,000

Additional information:

1. The company reports net income of $120,000 and depreciation expense of $20,000 for the year ending December 31, 2021.
2. Dividends declared and paid in 2021, $70,000.
3. Equipment with a cost of $20,000 and accumulated depreciation of $10,000 was sold for $3,000.
4. New equipment was purchased for cash.
5. No common stock was retired during 2021.

The company also reports the following income statement for the year ending December 31, 2021:

Sales		$1,050,000
Expenses:
Cost of goods sold	630,000	-
Salaries expense	200,000	-
Rent expense	40,000	-
Depreciation expense	20,000	-
Interest expense	3,000	-
Loss on sale of equipment	7,000	-
Total Expenses	-	900,000
Income Before Taxes	-	150,000
Income tax expense		30,000
Net income		$120,000

Required:

Using the direct method, prepare the statement of cash flows for the year ending December 31, 2021.