he comparative balance sheets for 2016 and 2015 and the income statement for 2016 are given below for Arduous Company. Additional information from Arduouss accounting records is provided also.

ARDUOUS COMPANY Comparative Balance Sheets December 31, 2016 and 2015 ($ in millions)
	2016		2015
Assets
Cash	$	154	$	100
Accounts receivable		209		232
Investment revenue receivable		25		23
Inventory		226		219
Prepaid insurance		23		32
Long-term investment		213		144
Land		234		169
Buildings and equipment		431		438
Less: Accumulated depreciation		(117)		(158)
Patent		53		56
	$	1,451	$	1,255
Liabilities
Accounts payable	$	69	$	103
Salaries payable		25		37
Bond interest payable		27		23
Income tax payable		31		38
Deferred income tax liability		49		27
Notes payable		32		0
Lease liability		101		0
Bonds payable		234		313
Less: Discount on bonds		(41)		(46)
Shareholders Equity
Common stock		465		429
Paid-in capitalexcess of par		119		104
Preferred stock		94		0
Retained earnings		274		227
Less: Treasury stock		(28)		0
	$	1,451	$	1,255

ARDUOUS COMPANY Income Statement For Year Ended December 31, 2016 ($ in millions)
Revenues
Sales revenue			$	589
Investment revenue				30
Gain on sale of treasury bills				2	$	621
Expenses and loss:
Cost of goods sold				199
Salaries expense				92
Depreciation expense				13
Patent amortization expense				2
Insurance expense				26
Bond interest expense				47
Loss on machine damage				34
Income tax expense				55		468
Net income					$	153

Additional information from the accounting records:
a.	Investment revenue includes Arduous Companys $25 million share of the net income of Demur Company, an equity method investee.
b.	Treasury bills were sold during 2016 at a gain of $2 million. Arduous Company classifies its investments in Treasury bills as cash equivalents.
c.	A machine originally costing $108 million that was one-half depreciated was rendered unusable by a flood. Most major components of the machine were unharmed and were sold for $20 million.
d.	Temporary differences between pretax accounting income and taxable income caused the deferred income tax liability to increase by $22 million.
e.	The preferred stock of Tory Corporation was purchased for $44 million as a long-term investment.
f.	Land costing $65 million was acquired by issuing $33 million cash and a 10%, four-year, $32 million note payable to the seller.
g.	The right to use a building was acquired with a 15-year lease agreement; present value of lease payments, $101 million.
h.	$79 million of bonds were retired at maturity.
i.	In February, Arduous issued a 4% stock dividend (6 million shares). The market price of the $6 par value common stock was $8.50 per share at that time. Also the company paid a cash dividend.
j.	In April, 1 million shares of common stock were repurchased as treasury stock at a cost of $28.00 million.

Required:

Prepare the statement of cash flows of Arduous Company for the year ended December 31, 2016. Present cash flows from operating activities by the direct 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.)