The income statement, balance sheets, and additional information for Video Phones, Incorporated, are provided.

Additional Information for $2024$:

Purchased investment in bonds for $$100,000$

Sold land for $$17,500.$ The land originally was purchased for $$25,000,$ resulting in a $$7,500$ loss being recorded at the time of the sale.

Purchased $$55,000$ in equipment by issuing a $$55,000$ long$-$term note payable to the seller. No cash was exchanged in the transaction.

Declared and paid a cash dividend of $$22,500.$

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.$)$

Answer is not complete.

$\backslash$table$[[$VIDEO PHONES, INCORPORATED$],[$Statement of Cash Flows$],[$For the Year Ended December $31,2024],[$Cash Flows from Operating Activities:$],[$Net income,$($s$,$S $163,000,],[$Adjustments to reconcile net income to net cash flows from operating activities:$],[$Depreciation expense,$\backslash$theta $,22,000,],[$Loss $($on sale of land$),\backslash$theta $,7,500$o$.,],[$Increase in accounts receivable,$\backslash$theta $,(20,500)$o$.,],[$Decrease in inventory,Q$,25,000,],[$Increase in prepaid rent,$\backslash$theta $,(4,800),],[$Decrease in accounts payable,Q$,,],[$Decrease in interest payable,$\backslash$theta $,,],[$Increase in income tax payable,$\backslash$theta $,,],[$Net cash flows from operating activities,,,$ $,192,200],[$Cash Flows from Investing Activities:$],[$Purchase investment in bonds,$\backslash$theta $,(100,000)$vv$,],[$Proceeds from sale of land,$\backslash$theta $,,],[$Net cash flows from investing activities,,,$(100,000)],[$Cash Flows from Financing Activities:$],[$Payment of cash dividends,$\backslash$theta $,,],[$Net cash flows from financing activities,,,$0],[$Net increase in cash,$\backslash$theta $,,],[$Cash at the beginning of the period$],[$Cash at the end of the period,,,s$],[$Note: Noncash Activities$],[$Purchase equipment by issuing a note payable,$\backslash$theta $,,]]$