The income statement, balance sheets, and additional information for Video Phones, Incorporated, are provided. Net sales Expenses: VIDEO PHONES, INCORPORATED Income Statement For the Year Ended December 31, 2024 Cost of goods sold Operating expenses Depreciation expense Loss on sale of land Interest expense Income tax expense Total expenses Net income $1,750,000 818,000 23,000 7,600 13,000 44,000 $2,816,000 2,655,600 $ 160,400 S Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments Land VIDEO PHONES, INCORPORATED Balance Sheets December 31 Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable" Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total 1ishilitiae and etnekhaldare anuity 2024 2023 $179,760 76,600 $111,080 56,000 105,000 131,000 9,840 4,920 101,000 0 206,000 232,000 262,000 206,000 (64,200) (41,200) $876,000 $699,800 $ 62,400 5,600 14,600 $ 77,000 9,200 13,600 277,000 221,000 260,000 260,000 256,400 119,000 $876.000 L1a011ities and stocno Loers equity Current Liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings. Total liabilities and stockholders' equity Additional Information for 2024: 1. Purchased investment in bonds for $101,000. $ 62,400 5,600 $ 77,000 9,200 14,600 13,600 277,000 221,000 260,000 260,000 256,400 $876,000 119,000 $699,800 2. Sold land for $18,400. The land originally was purchased for $26,000, resulting in a $7,600 loss being recorded at the time of the sale. 3. Purchased $56,000 in equipment by issuing a $56,000 long-term note payable to the seller: No cash was exchanged in the transaction. 4. Declared and paid a cash dividend of $23,000. Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.) Cash Flows from Operating Activities VIDEO PHONES, INCORPORATED Statement of Cash Flows For the Year Ended December 31, 2024 Adjustments to reconcile net income to net cash flows from operating activities: < Prev 3 of 3 Next > For the Year Ended December 31, 2024 Cash Flows from Operating Activities: Adjustments to reconcile net income to net cash flows from operating activities: Net cash flows from operating activities Cash Flows from Investing Activities: Net cash flows from investing activities Cash Flows from Financing Activities: Net cash flows from financing activities Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities $ 0 0 0 $ 0