The comparative balance sheets and an income statement for Raceway Corporation follow.

Balance Sheets
As of December 31
	Year 2	Year 1
Assets
Cash	$61,706	$39,590
Accounts receivable	33,068	24,250
Inventory	157,774	173,550
Prepaid rent	2,280	4,560
Equipment	252,390	287,530
Accumulated depreciation	(146,000)	(233,980)
Land	190,210	76,010
Total assets	$551,428	$371,510
Liabilities
Accounts payable (inventory)	$69,001	78,270
Salaries payable	28,525	24,450
Stockholders equity
Common stock, $50 par value	247,500	198,500
Retained earnings	206,402	70,290
Total liabilities and equity	$551,428	$371,510

Income Statement
For the Year Ended December 31, Year 2
Sales	$1,498,000
Cost of goods sold	(796,138)
Gross profit	701,862
Operating expenses
Depreciation expense	(22,360)
Rent expense	(26,610)
Salaries expense	(259,300)
Other operating expenses	(257,480)
Net income	$136,112

Other Information

Purchased land for $114,200.

Purchased new equipment for $95,200.

Sold old equipment that cost $130,340 with accumulated depreciation of $110,340 for $20,000 cash.

Issued common stock for $49,000.

Required Prepare the statement of cash flows for Year 2 using the indirect method. (Cash outflows should be indicated with a minus sign.)