The following financial statements were drawn from the records of Vernon Shoes: 1. Sold equipment costing $109,000 with accumulated depreciation of $86,180 for $21,010 cash. 2. Paid a $13,760 cash dividend to owners. Required: Analyze the data and prepare a statement of cash flows using the direct method. (Amounts to be deducted and cash outflows should be indicated by a minus sign.)