The comparative balance sheets for 2013 and 2012 and the income statement for 2013 are given below for Arduous Company. Additional information from Arduous’s accounting records is provided also.

Additional information from the accounting records:
a. Investment revenue includes Arduous Company’s $6 million share of the net income of Demur Company, an equity method investee.
b. Treasury bills were sold during 2013 at a gain of $2 million. Arduous Company classifies its investments in Treasury bills as cash equivalents.
c. A machine originally costing $70 million that was one-half depreciated was rendered unusable by a rare flood. Most major components of the machine were unharmed and were sold for $17 million.
d. Temporary differences between pretax accounting income and taxable income caused the deferred income tax liability to increase by $3 million.
e. The preferred stock of Tory Corporation was purchased for $25 million as a long-term investment.
f. Land costing $46 million was acquired by issuing $23 million cash and a 15%, four-year, $23 million note payable to the seller.
g. The right to use a building was acquired with a 15-year lease agreement; present value of lease payments, $82 million.
h. $60 million of bonds were retired at maturity.
i. In February, Arduous issued a 4% stock dividend (4 million shares). The market price of the $5 par value common stock was $7.50 per share at that time.
j. In April, 1 million shares of common stock were repurchased as treasury stock at a cost of $9 million.

Required:
Prepare the statement of cash flows of Arduous Company for the year ended December 31, 2013. Present cash flows from operating activities by the direct method. (A reconciliation schedule is notrequired.)

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ARDUOUS COMPANY Comparative Balance Sheets December 31, 2013 and 2012 ($ in millions) 2013 2012 Assets Cash Accounts receivable Investment revenue receivable $ 116 190 $ 81 194 Prepaid insurance 156 196 412 (97) Long-term investment 125 150 (120) $1,074 Buildings and equipment Less: Accumulated depreciation $1,218 Liabilities $ 50 $ 65 Salaries payable Bond interest payable Income tax payable Deferred income tax liability Notes payable Lease liability Bonds payable 12 275 (25) 215 Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital- excess of par Preferred stock Retained earnings 430 410 242 Less: Treasury stock $1,218 $1,074 ARDUOUS COMPANY Income Statement For Year Ended December 31, 2013 (S in millions) Revenues Sales revenue Investment revenue Gain on sale of treasury bills Expenses Cost of goods sold Salaries expense Depreciation expense Patent amortization expense Insurance expense Bond interest expense $410 $423 180 12 Extrodinary loss (flood damage to inventory) S18 Less: Tax savings Income tax expense 9 45 356 Net income S 67