Tangent Controls Ltd. is a manufacturer of crash-protected event recorders that are used in railway systems around the world to record event data. These data can be retrieved and analyzed to monitor and improve operations, but also to provide diagnostic data in the event of rail crashes. The small Ottawa-based company has customers across the world, but its largest market is North America. The company has been hurt by the U.S. economy, seeing a 12% decline in sales over the prior year. The company is hoping that the latest industry developments, which call for a significant increase in the shipment of oil by railcar, will mean an increase in sales. In the meantime, the company has been seeking new investors and has approached a leading Canadian venture capital firm to see if it might be interested in investing. As part of its approach, Tangent has provided the following financial information for the most recent fiscal year.

TANGENT CONTROLS LTD. Statement of Financial Position As at September 30
		2020		2019
Assets
Current assets:
Cash		$ 0		$83,520
Accounts receivable (net)		697,160		438,480
Inventory		881,600		689,040
Total current assets		1,578,760		1,211,040
Equipment		1,865,280		2,213,280
Accumulated depreciation, equipment		(1,653,000	)	(1,670,400	)
Total assets		$1,791,040		$1,753,920
Liabilities and shareholders equity
Current liabilities:
Bank indebtedness		$25,520		$ 0
Accounts payable		301,600		292,320
Total current liabilities		327,120		292,320
Bank loan payable		176,320		167,040
Common shares		1,044,000		1,044,000
Retained earnings		243,600		250,560
Total liabilities and shareholders equity		$1,791,040		$1,753,920

TANGENT CONTROLS LTD. Statement of Income For the year ended September 30, 2020
Sales revenue		$7,041,200
Cost of goods sold		4,495,000
Gross profit		2,546,200
Wages expense		1,832,800
Utilities expense		336,400
Depreciation expense		261,000
Rent expense		91,640
Interest expense		54,520
Loss from operations		(30,160	)
Gain on sale of equipment		46,400
Earnings before income tax		16,240
Income tax expense		3,480
Net income		$12,760

Additional information:

1.		During the year, the company repaid principal of $34,800 on its loan payable.
2.		During the year, equipment with a net carrying amount of $69,600 was sold.
3.		No equipment was purchased during the year.

(a1) You work for the venture capital firm and have been tasked with preparing the statement of cash flows for Tangent using the indirect method for determining cash flows from operating activities. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)