Stellar Inc. is a major retailer of road bicycles and a promoter of riding bicycles to work, both to save the environment and improve physical fitness. Financial statements for Stellar are presented below.

STATEMENT OF FINANCIAL POSITION December 31
Current Assets			2021			2020
	Cash		56,000			20,800
	Accounts receivable		24,800			10,550
	Inventory		31,050			16,050
	Prepaid expenses		15,150			10,150
	Total current assets		127,000			57,550
Property and Equipment
	Property and equipment		160,550			150,550
	Less: Accumulated depreciation		78,900			70,000
	Net property and equipment		81,650			80,550
TOTAL ASSETS			$208,650			$138,100
Current Liabilities
	Accounts payable		11,600			15,500
	Salaries payable		10,150			8,150
	Interest payable		2,550			3,550
	Total current liabilities		24,300			27,200
	Loan payable		100,550			60,550
Total Liabilities			124,850			87,750
Shareholders Equity
	Common shares		10,050			1,000
	Retained earnings		73,750			49,350
	Total shareholders equity		83,800			50,350
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY			$208,650			$138,100

INCOME STATEMENT For the Years Ended December 31
				2021		2020
Sales revenue				613,600		500,000
Cost of sales				419,000		350,000
Gross margin				194,600		150,000
Expenses
Salary expense				136,000		125,000
Interest expense				3,500		2,400
Other expenses				6,000		3,000
Depreciation expense				14,900		8,000
Total expenses				160,400		138,400
Operating income				34,200		11,600
Gain on disposal of equipment				1,400		-
Income tax expense				6,400		1,972
Net income				$29,200		$9,628

The following is additional information concerning Stellars transactions during the year ended December 31, 2021:

		Equipment costing $40,000 was purchased by paying $34,650 cash and issuing 100 shares.
		Equipment costing $30,000 that was purchased at the beginning of 2020 was sold at the end of 2021 for $25,400. Straight-line depreciation had been used with an expected asset life of 10 years and a residual value of $0.
		The other expenses relate to prepaid items.
		In order to supplement its cash, Stellar borrowed an additional $40,000.
		Cash dividends of $4,800 were paid at the end of the fiscal year.
		Cost of sales includes $155,000 of direct labour costs.

Prepare a statement of cash flows for Stellar for the year ended December 31, 2021, using the direct method. Stellar follows ASPE. Include any note disclosure on non-cash financing and investing transactions. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)