The comparative balance sheets for 2024 and 2023 and the statement of income for 2024 are given below for National Intercable Company. Additional information from NIC’s accounting records is provided also.

Additional information from the accounting records:
a. Investment revenue includes National Intercable Company’s $6 million share of the net income of Central Fiber Optics Corporation, an equity method investee.
b. A long-term investment in bonds, originally purchased for $30 million, was sold for $35 million.
c. Pretax accounting income exceeded taxable income, causing the deferred income tax liability to increase by $3 million.

d. A building that originally cost $60 million, and which was one-fourth depreciated, was destroyed by fire. Some undamaged sections were sold for $3 million.
e. The right to use a building was acquired with a seven-year lease agreement; present value of lease payments, $80 million. Annual lease payments of $12 million are paid on Jan. 1 of each year starting in 2024.
f. $130 million of bonds were retired at maturity.
g. $20 million par value of common stock was sold for $30 million, and $50 million of preferred stock was sold at par. h. Shareholders were paid cash dividends of $30 million.

Required:
1. Prepare a spreadsheet for preparation of the statement of cash flows (direct method) of National Intercable Company for the year ended December 31, 2024.
2. Prepare the statement of cash flows. (A reconciliation schedule is not required.)

Assets Cash NATIONAL INTERCABLE COMPANY Comparative Balance Sheets December 31, 2024 and 2023 ($ in millions) Accounts receivable Less: Allowance for uncollectible accounts Prepaid insurance Inventory Long-term investment Land Buildings and equipment Less: Accumulated depreciation Trademark Liabilities Accounts payable Salaries payable Deferred tax liability Lease liability Bonds payable Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital-excess of par Preferred stock Retained earnings 2024 $57 181 (8) 7 170 66 150 290 (85) 24 $852 $ 30 3 18 68 145 (22) 310 95 50 155 $852 2023 $ 55 170 (6) 12 165 90 150 270 (75) 25 $856 $ 45 8 15 0 275 (25) 290 85 0 163 $856