The income statement, balance sheet, and additional information for Video Phones, Inc., are provided.

VIDEO PHONES, INC. Income Statement For the Year Ended December 31, 2015
Net sales		$	3,136,000
Expenses:
Cost of goods sold	$ 2,050,000
Operating expenses	878,000
Depreciation expense	29,000
Loss on sale of land	8,200
Interest expense	16,000
Income tax expense	50,000
Total expenses			3,031,200
Net income		$	104,800

VIDEO PHONES, INC. Balance Sheet December 31
	2015		2014
Assets
Current assets:
Cash	$	179,720	$	160,760
Accounts receivable		83,200		62,000
Inventory		105,000		137,000
Prepaid rent		12,480		6,240
Long-term assets:
Investments		107,000		0
Land		212,000		244,000
Equipment		274,000		212,000
Accumulated depreciation		(71,400)		(42,400)
Total assets	$	902,000	$	779,600
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	67,800	$	83,000
Interest payable		6,200		10,400
Income tax payable		15,200		14,200
Long-term liabilities:
Notes payable		289,000		227,000
Stockholders' equity:
Common stock		320,000		320,000
Retained earnings		203,800		125,000
Total liabilities and stockholders equity	$	902,000	$	779,600

Additional Information for 2015:
1.	Purchase investment in bonds for $107,000.
2.	Sell land costing $32,000 for only $23,800, resulting in a $8,200 loss on sale of land.
3.	Purchase $62,000 in equipment by borrowing $62,000 with a note payable due in three years. No cash is exchanged in the transaction.
4.	Declare and pay a cash dividend of $26,000.

Required:

Prepare the statement of cash flows for Video Phones, Inc., using the direct method. Disclose any noncash transactions in an accompanying note.