The following is Sullivan Corp.’s comparative statement of financial position accounts at December 31, 2015 and 2014, with a column showing the increase (decrease) from 2014 to 2015.

Additional information:
1. On December 31, 2013, Sullivan acquired 25% of Myers Co.’s ordinary shares for $275,000. On that date, the carrying value of Myers’ assets and liabilities, which approximated their fair values, was $1,100,000. Myers reported income of $140,000 for the year ended December 31, 2015. No dividend was paid on Myers’ ordinary shares during the year.
2. During 2015, Sullivan loaned $300,000 to TLC Co., an unrelated company. TLC made the first semiannual principal repayment of $50,000, plus interest at 10%, on December 31, 2015.
3. On January 2, 2015, Sullivan sold equipment costing $60,000, with a carrying amount of $38,000, for $40,000 cash.
4. On December 31, 2015, Sullivan entered into a finance lease for an office building. The present value of the annual rental payments is $400,000, which equals the fair value of the building. Sullivan made the first rental payment of $60,000 when due on January 2, 2016.
5. Net income for 2015 was $370,000.
6. Sullivan declared and paid cash dividends for 2015 and 2014 as shown below.

Instructions Prepare a statement of cash flows for Sullivan Corp. for the year ended December 31, 2015, using the indirect method.

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COMPARATIVE STATEMENTS OF FINANCIAL POSITION Increase 2015 2014 (Decrease) Property, plant and equipment $3,307,000 $2,967,000 $340,000 Accumulated depreciation (1,165,000) (1,040,000) (125,000) Equity investment (Myers Co.) 310,000 275,000 35,000 Inventory 1,850,000 1,715,000 135,000 Accounts receivable 1,128,000 1,168,000 (40,000) Debt investment Cash 250,000 250,000 815,000 700,000 115,000 $6,495,000 $5,785,000 $710,000 Total assets Share capital-ordinary, $1 par Share premium-ordinary $ 500,000 1,500,000 $ 500,000 Retained earnings Finance lease obligation Accounts payable Income taxes payable 2,970,000 400,000 1,015,000 30,000 1,500,000 2,680,000 $290,000 - 400,000 955,000 60,000 50,000 (20,000) Dividends payable 80,000 100,000 (20,000) Total equity and liabilities $6,495,000 $5,785,000 $710,000