Comparative balance sheets for 2024 and 2023 and a statement of income for 2024 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided.

Additional information from the accounting records:
a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024.
b. During 2024, equipment with a cost of $300,000 (90% depreciated) was sold.
c. The statement of shareholders’ equity reveals reductions of $225,000 and $450,000 for stock dividends and cash dividends, respectively.

Required:
Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2024. Present cash flows  from operating activities by the direct method. (You may omit the schedule to reconcile net income to cash flows from operating activities.)

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Assets Cash Accounts receivable Inventory METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) Land Building Less: Accumulated depreciation Equipment Less: Accumulated depreciation Patent Liabilities Accounts payable Accrued liabilities Lease liability-land Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings 2024 $ 580 600 900 675 900 (300) 2,850 (525) 1,200 $6,880 $750 300 130 3,150 750 1,800 $6,880 2023 $375 450 525 600 900 (270) 2,250 (480) 1,500 $5,850 $450 225 0 3,000 675 1,500 $5,850