Comparative balance sheets for $2024$ and $2023,$ a statement of income for $2024,$ and additional information from the accounting records of Red, Incorporated, are provided below:

RED, INCORPORATEDComparative Balance SheetsDecember $31,2024$ and $2023($$ in millions$)20242023$Assets$$Cash$ $41$$ $165$Accounts receivable$192149$Prepaid insurance$158$Inventory$319192$Buildings and equipment$434367$Less: Accumulated depreciation$(136)(257)$$ $865$$ $624$Liabilities$$Accounts payable$ $104$$ $134$Accrued liabilities$1420$Notes payable$670$Bonds payable$1780$Shareholders$$ Equity$$Common stock$417417$Retained earnings$8553$$ $865$$ $624$

RED, INCORPORATEDStatement of IncomeFor Year Ended December $31,2024($$ in millions$)$Revenues$$Sales revenue$$$ $2,170$Expenses$$Cost of goods sold$ $1,469$Depreciation expense$69$Operating expenses$5332,071$Net income$$$ $99$

Additional information from the accounting records:

During $2024,$ $$267$ million of equipment was purchased to replace $$200$ million of equipment $(95\%$ depreciated$)$ sold at book value.

In order to maintain the usual policy of paying cash dividends of $$67$ million, it was necessary for Red to borrow $$67$ million from its bank.

Required:

Prepare the statement of cash flows for Red, Incorporated, using the indirect method to report operating activities.

Note: Cash outflows should be indicated with a minus sign. Enter your answers in millions $($i$.$e$.,10,000,000$ should be entered as $10).$