The income statement, balance sheets, and additional information for Video Phones, Inc., are provided. potnits $2,636,000 VIDEO PHONES, INC. Income Statement For the Year Ended December 31, 2021 Net sales Expenses Cost of goods sold $1,600,000 Operating expenses 788,000 Depreciation expense 20.ee Loss on sale of land 7,300 Interest expense 11,50e Income tax expense 41,000 Total expenses Net Income 2,467,800 $ 168,200 References VIDEO PHONES, INC. Balance Sheets December 31 2021 2020 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments $ 159,180 73,300 105,000 9,12e $ 85,940 53,000 128,eee 4,560 98,000 203,000 256,000 (60,600) $ 343,000 226,000 203,000 (40.600) $659,900 Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholdersequity Common stock Retained earnings Total liabilities and stockholders' equity $ 59,700 5,30 14,300 $ 74,000 8.600 13,300 271.000 218,000 230,000 262.700 $ 843,000 230.000 116,000 $659,900 1. Purchase investment in bonds for $98.000. 2. Sel and costing $23,000 for only $15.700, resulting in a $7,300 loss on sale of land. 3. Purchase $53,000 in equipment by issuing a $53.000 long-term note payable to the seller. No cash is exchanged in the transaction 4. Declare and pay a cash dividend of $21.500. point Required: Prepare the statement of cash flows using the Indirect method. Disclose any noncash transactions in an accompanying note. (List cash outflows and any decrease in cash as negative amounts.) VIDEO PHONES, INC Statement of Cash Flows For the Year Ended December 31, 2021 Cash Flows bom Operating Activities: Adjustments to reconcile net income to net cash fows from operating activities PE CER Net cash fows from operating activities Cash Flows from Investing Activities Net cash fows from investing activities Cash Flows from Financing Activities: Net cash flows from financing motivities Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities