Options are:

Decrease in accounts payable

Decrease in interest payable

Decrease in inventory

Depreciation expense

Gain (on sale of land)

Increase in accounts receivable

Increase in income tax payable

Increase in notes payable

Increase in prepaid rent

Loss (on sale of land)

Net income

Net loss

Payment of cash dividends

Proceeds from sale of land

Purchase equipment by issuing a note payable

Purchase investment in bonds

Purchase of equipment

Problem 11-4A (Algo) Prepare a statement of cash flows-indirect method (LO11-2, 11-3, 11-4, 11-5) The income statement, balance sheets, and additional information for Video Phones, Incorporated, are provided. Additional Information for 2024: 1. Purchased investment in bonds for $95,000. 2. Sold land for $13,000. The land originally was purchased for $20,000, resulting in a $7,000 loss being recorded at the time of the sale. 3. Purchased $50,000 in equipment by issuing a $50,000 long-term note payable to the seller. No cash was exchanged in the transaction. 4. Declared and paid a cash dividend of $20,000. Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.) Additional Information for 2024: 1. Purchased investment in bonds for $95,000. 2. Sold land for $13,000. The land originally was purchased for $20,000, resulting in a $7,000 loss being recorded at the time of the sale. 3. Purchased $50,000 in equipment by issuing a $50,000 long-term note payable to the seller. No cash was exchanged in the transaction. 4. Declared and paid a cash dividend of $20,000. Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.)