The following financial statements were drawn from the records of Matrix Shoes:

Balance Sheets As of December 31
	Year 2				Year 1
Assets
Cash	$	133,893			$	29,930
Accounts receivable		58,537				67,780
Merchandise inventory		131,835				119,280
Notes receivable		0				31,500
Equipment		154,300				259,400
Accumulated depreciationequipment		(73,643	)			(137,210	)
Land		77,000				48,000
Total assets	$	481,922			$	418,680
Liabilities
Accounts payable	$	40,047			$	46,340
Salaries payable		25,925				20,740
Utilities payable		553				1,106
Interest payable		0				2,370
Notes payable (long-term)		0				58,000
Common stock		304,100				240,900
Retained earnings		111,297				49,224
Total liabilities and equity	$	481,922			$	418,680

Income Statement For the Year Ended December 31, Year 2
Sales revenue	$	587,680
Cost of goods sold		(291,813	)
Gross margin		295,867
Operating expenses
Salary expense		(184,230)
Depreciation expense		(18,303	)
Utilities expense		(12,350	)
Operating income		80,984
Nonoperating items
Interest expense		(2,541)
Loss on the sale of equipment		(2,220	)
Net income	$	76,223

Additional Information

1. Sold equipment costing $105,100 with accumulated depreciation of $81,870 for $21,010 cash.
2. Paid a $14,150 cash dividend to owners.

Required Analyze the data and prepare a statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.)