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The income statement balance sheets, and additional information for Video Phones, Inc., ore provided. VIDEO PHONES, INC Income Statement For the Year Ended December 31,

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The income statement balance sheets, and additional information for Video Phones, Inc., ore provided. VIDEO PHONES, INC Income Statement For the Year Ended December 31, 2021 Net sales $2,986,000 Expenses: Cost of goods sold $1,900,eve Operating expenses 848,000 Depreciation expense 26,000 Loss on sale of land 7,900 Interest expense 14,500 Income tax expense 47,000 Total expenses 2,843,400 Net income $ 142,600 VIDEO PHONES, INC. Balance Sheets December 31 2021 2020 Assets Current assets: Cash $ 190.340 5136.220 VIDEO PHONES, INC. Balance Sheets December 31 2021 2020 $ 190, 340 79,900 105, eee 10,560 $136,220 59,800 134,000 5,280 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments Land 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 104,000 209,000 268,000 (67,800 $ 899, eee 238,000 209,000 (41,800) $739,700 $ 65, 108 5,982 14,9ee $ 80,000 9,800 13,90 283,800 224, eee 290, eee 240, 100 290,ee 122,000 283, eee 224,000 Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity 290, cee 240, 100 $ 899,000 290,000 122,000 $739,700 Additional Information for 2021: 1. Purchase investment in bonds for $104,000 2 Sell land costing $29,000 for only $21,100, resulting in a $7.900 loss on sale of land, 3. Purchase $59,000 in equipment by issuing a $59,000 long-term note payable to the seller. No cash is exchanged in the transaction 4. Declare and pay a cash dividend of $24,500. 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.)

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