The comparative balance sheets for Headland Corporation show the following information:

$\backslash$table$[[,$December $31],[,2025,2024],[$Cash$,$$$56,200,$$$19,400$

Additional data related to $2025$ are as follows,

Equipment that had cost $$19,900$ and was $60\%$ depreciated at time of disposal was sold for $$2,000.$

$$19,000$ of the long$-$term note payable was paid by issuing common stock.

Cash dividends paid were $$12,000.$

On January $1,2025,$ the building was completely destroyed by a hurricane. Insurance proceeds on the building were $$247,200($net of $$22,200$ taxes$).$

Investments $($available$-$for$-$sale$)$ were sold at $$2,800$ below their cost. The company has made similar sales and investments in the past.

Cash was paid for the acquisition of equipment.

A long$-$term note for $$20,100$ was issued for the acquisition of equipment.

Interest of $$1,000$ and income taxes of $$23,500$ were paid in cash.

Prepare a statement of cash flows using the indirect method. Hurricane damage is unusual in that part of the country. $($Show amounts that decrease cash flow with either a $-$ sign e$.$g$.-15,000$ or in parenthesis e$.$g$.(15,000).$

HEADLAND CORPORATION

Statement of Cash Flows

For the Year Ended December $31,2025$

Adjustments to reconcile net income to

Depreciation Expense

$

Loss on Sale of Equipment