The income statement, balance sheet, and additional information for Virtual Gaming Systems are provided.

VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2015
Net sales		$	2,530,000
Gain on sale of land			3,500
Total revenues			2,533,500
Expenses:
Cost of goods sold	$ 1,615,000
Operating expenses	608,000
Depreciation expense	26,000
Interest expense	27,000
Income tax expense	73,000
Total expenses			2,349,000
Net income		$	184,500

VIRTUAL GAMING SYSTEMS Balance Sheet December 31
	2015		2014
Assets
Current assets:
Cash	$	265,120	$	206,940
Accounts receivable		71,700		87,000
Inventory		149,500		138,000
Prepaid rent		4,180		6,360
Long-term assets:
Investments		188,000		100,000
Land		211,500		263,000
Equipment		236,000		213,000
Accumulated depreciation		(132,500)		(106,500)
Total assets	$	993,500	$	907,800
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	31,500	$	91,000
Interest payable		4,300		3,300
Income tax payable		22,200		25,500
Long-term liabilities:
Notes payable		251,000		228,000
Stockholders' equity:
Common stock		383,000		330,000
Retained earnings		301,500		230,000
Total liabilities and stockholders equity	$	993,500	$	907,800

Additional Information for 2015:
1.	Purchase additional investment in stocks for $88,000.
2.	Sell land costing $51,500 for $55,000, resulting in a $3,500 gain on sale of land.
3.	Purchase $23,000 in equipment by borrowing $23,000 with a note payable due in three years. No cash is exchanged in the transaction.
4.	Declare and pay a cash dividend of $113,000.
5.	Issue common stock for $53,000.

Required:

Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (List cash outflows and any decrease in cash as negative amounts.)