The income statement, balance sheets, and additional information for Video Phones, Incorporated, are provided.

VIDEO PHONES, INCORPORATED
Income Statement
For the Year Ended December 31, 2024
Net sales		$3,336,000
Expenses:
Cost of goods sold	$2,150,000
Operating expenses	898,000
Depreciation expense	31,000
Loss on sale of land	8,400
Interest expense	17,000
Income tax expense	52,000
Total expenses		3,156,400
Net income		$ 179,600

VIDEO PHONES, INCORPORATED
Balance Sheets
December 31
	2024	2023
Assets
Current assets:
Cash	$ 273,440	$177,520
Accounts receivable	85,400	64,000
Inventory	105,000	139,000
Prepaid rent	12,960	6,480
Long-term assets:
Investments	109,000	0
Land	214,000	248,000
Equipment	278,000	214,000
Accumulated depreciation	(73,800)	(42,800)
Total assets	$1,004,000	$806,200
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$ 69,600	$ 85,000
Interest payable	6,400	10,800
Income tax payable	15,400	14,400
Long-term liabilities:
Notes payable	293,000	229,000
Stockholders' equity:
Common stock	340,000	340,000
Retained earnings	279,600	127,000
Total liabilities and stockholders equity	$1,004,000	$806,200

Additional Information for 2024:

1. Purchased investment in bonds for $109,000.
2. Sold land for $25,600. The land originally was purchased for $34,000, resulting in a $8,400 loss being recorded at the time of the sale.
3. Purchased $64,000 in equipment by issuing a $64,000 long-term note payable to the seller. No cash was exchanged in the transaction.
4. Declared and paid a cash dividend of $27,000.

Required:

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

Direct method Plz