The income statement, balance sheets, and additional information for Cloud Mangu are provided.

CLOUD MANGUIncome StatementFor the Year Ended December $31,2026$Net sales$$$ $3,236,000$Expenses:$$Cost of goods sold$ $2,100,000$Operating expenses$888,000$Depreciation expense$30,000$Loss on sale of land$8,300$Interest expense$16,500$Income tax expense$51,000$Total expenses$3,093,800$Net income$$$ $142,200$

CLOUD MANGUBalance SheetsDecember $3120262025$Assets$$Current assets:$$Cash$ $226,580$$ $169,140$Accounts receivable$84,30063,000$Inventory$105,000138,000$Prepaid rent$12,7206,360$Long$-$term assets:$$Investments$108,0000$Land$213,000246,000$Equipment$276,000213,000$Accumulated depreciation$(72,600)(42,600)$Total assets$ $953,000$$ $792,900$Liabilities and Stockholders' Equity$$Current liabilities:$$Accounts payable$ $68,700$$ $84,000$Interest payable$6,30010,600$Income tax payable$15,30014,300$Long$-$term liabilities:$$Notes payable$291,000228,000$Stockholders' equity:$$Common stock$330,000330,000$Retained earnings$241,700126,000$Total liabilities and stockholders$$ equity$ $953,000$$ $792,900$

Additional Information for $2026$:

Purchased investment in bonds for $$108,000.$

Sold land for $$24,700.$ The land originally was purchased for $$33,000,$ resulting in a $$8,300$ loss being recorded at the time of the sale.

Purchased $$63,000$ in equipment by issuing a $$63,000$ long$-$term note payable to the seller. No cash was exchanged in the transaction.

Declared and paid a cash dividend of $$26,500.$

Required:

Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note.

Note: Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.