(APPENDIX 11A) PREPARING NET CASH FLOWS FROM OPERATING ACTIVITIES—DIRECT METHOD Befuddled Corporation collected the following information on inflows and outflows for 2009:

Inflows Cash collections from sales $941,500 Proceeds from sale of equipment 7,000 Proceeds received from issuance of notes payable 50,000 Outflows Cash payments for cost of goods sold $523,900 Cash payments for operating expenses 173,200 Cash payments for interest 38,600 Cash payments for income taxes 41,300 Cash payments for purchases of equipment 209,000 Repayment of short-term notes payable 15,000 Payment of cash dividends 48,000 Befuddled had a cash balance of $89,200 on 1/1/09.

Required:

Prepare a statement of cash flows, using the direct method to determine net cash flow from operating activities.