The income statement, balance sheets, and additional information for Video Phones, Inc., are provided. IDEO PHONES, INC. Income Statement For the Year Ended December 31, 2018 Net sales 5 3.636,000 Cost of goods sold Operating expenses Depreciation expense Loss on sale of land Interest expense Income tax expense S 2.450,000 958.000 37.000 9.000 20,000 58,000 Total expenses 3,532,000 Net income 5 104.000 VIDEO PHONES, INC Balance Sheets December 31 2018 2017 Assets Current assets Cash Accounts receivable Inventory Prepaid rent 254.600 227,800 70,000 145,000 92,000 105,000 14,400 7,200 assets: Investments Land Equipment Accumulated depreciation 115,000 220,000 290.000 (81,000) 260,000 220,000 (44,000) Total assets 5 1.010,000 886,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable 75,000 91,000 12,000 15,000 7.000 16.000 305,000 400,000 Long-term liabilities Notes payable 235,000 Stockholders' equity: Common stock Retained earnings 400,000 133,000 207.000 Total liabilities and stockholders' equity S 1.010.000 886,000 Additional Information for 2018: 1. Purchase investment in bonds for $115.000 2. Sell land costing S40,000 for only $31,000, resulting in a S9,000 loss on sale of land 3. Purchase S70,000 in equipment by boowing S70,000 with a note payable due in three years. No cash is exchanged in the transaction. 4. Declare and pay a cash dividend of $30,000 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.)