During fiscal 2017, M&Q Entertainment sold its Ferentio assets for $20,460,000 cash and recorded a gain on disposal of $18,980,000, which was included in the company's net income of $43,840,000. Required: 1. Show how the disposal would be reported on the statement of cash flows, using the following format (which assumes the indirect method): (Enter your answers in thousands. Amounts to be deducted should be indicated by a minus sign.) Cash flows from operating activities Cash flows from investing activities 2. Compute the book value of the Ferentio assets that were sold. (Enter your answer in thousands.) Book value