The following information relates to Aires Corporation for 20x8 and 20x7:

Aires Corporation

Comparative Balance Sheets

December 31, 20x8 and 20x7

Assets 20x8 20x7 Change

Cash $ 21,000 $ 54,000

Accounts receivable (net) 421,000 480,000

Inventory 310,000 340,000

Prepaid expenses 17,000 15,000

Investments 80,000 80,000

Land 350,000 300,000

Building (net) 680,000 700,000

Equipment (net) 520,000 340,000

Total assets $2,399,000 $2,309,000

Liabilities

Accounts payable $ 328,000 $ 335,000

Accrued liabilities 171,000 170,000

Income taxes payable 22,000 34,000

Bonds payable 410,000 700,000

Long-term note payable 130,000 0

Total liabilities $1,061,000 $1,239,000

Stockholders' Equity

Common stock $ 800,000 $ 600,000

Additional paid-in capital 152,000 152,000

Retained earnings 386,000 318,000

Total stockholders' equity $1,338,000 $1,070,000

Total liabilities and stockholders' equity $2,399,000 $2,309,000

Additional information:

Net income for 20x8 was $143,000.

Issued a long-term note payable in exchange for computer equipment for $130,000.

Purchased computer terminals for $90,000.

Depreciation on equipment for 20x8 was $40,000.

Depreciation on building for 20x8 was $20,000.

Reacquired bonds payable at par for $290,000.

Declared and paid dividends of $75,000.

Issued 20,000 shares of common stock at par value of $10 per share.

Paid $50,000 for land intended for a new plant site.

Complete the column with the heading change. Indicate increase or decrease. Then prepare a statement of cash flows using the indirect method. Include a schedule of noncash investing and financing transactions, if applicable.