The comparative balance sheets for 2018 and 2017 and the statement of income for 2018 are given below for National Intercable Company. Additional information from NICs accounting records is provided also.

NATIONAL INTERCABLE COMPANY Comparative Balance Sheets December 31, 2018 and 2017 ($ in millions)
	2018				2017
Assets
Cash	$	127			$	85
Accounts receivable		253				245
Less: Allowance for uncollectible accounts		(11)				(9)
Prepaid insurance		9				15
Inventory		234				225
Long-term investment		42				65
Land		160				160
Buildings and equipment		300				250
Less: Accumulated depreciation		(100)				(75)
Trademark		22				25
	$	1,036			$	986
Liabilities
Accounts payable	$	36			$	50
Salaries payable		6				9
Deferred income tax liability		18				15
Lease liability		75				0
Bonds payable		125				275
Less: Discount on bonds		(24)				(26)
Shareholders' Equity
Common stock		280				250
Paid-in capitalexcess of par		105				75
Preferred stock		70				0
Retained earnings		345				338
	$	1,036			$	986

NATIONAL INTERCABLE COMPANY Income Statement For Year Ended December 31, 2018 ($ in millions)
Revenues
Sales revenue	$	380
Investment revenue		12
Gain on sale of investments		4		$	396
Expenses
Cost of goods sold		150
Salaries expense		58
Depreciation expense		35
Trademark amortization expense		3
Bad debt expense		8
Insurance expense		20
Bond interest expense		45
Loss on building fire		27			346
Income before tax					50
Income tax expense					25
Net income				$	25

Additional information from the accounting records:

1. Investment revenue includes National Intercable Company's $7 million share of the net income of Central Fiber Optics Corporation, an equity method investee.
2. A long-term investment in bonds, originally purchased for $30 million, was sold for $34 million.
3. Pretax accounting income exceeded taxable income causing the deferred income tax liability to increase by $3 million.
4. A building that originally cost $40 million, and which was one-fourth depreciated, was destroyed by fire. Some undamaged parts were sold for $3 million.
5. The right to use a building was acquired with a seven-year lease agreement; present value of lease payments, $90 million. Annual lease payments of $15 million are paid at Jan. 1 of each year starting in 2018.
6. $150 million of bonds were retired at maturity.
7. $30 million par value of common stock was sold for $60 million, and $70 million of preferred stock was sold at par.
8. Shareholders were paid cash dividends of $18 million.

Required: 2. Prepare the statement of cash flows. Present cash flows from operating activities by the direct method. (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.)