Of the opening total balance in the office furniture account of $180,000, $40,000 was sold for a gain of $3,000. It was replaced with a new set of furniture costing $50,000, paid for in cash. The total furniture depreciation for the year was $45,000, and the closing balance for accumulated amortization was $166,000. Using this information and using T accounts, indicate the items to be reported on the cash flow statement using the direct method.