Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory.

FORTEN COMPANY
Income Statement
For Current Year Ended December 31
Sales $ 582,500
Cost of goods sold 285,000
Gross profit 297,500
Operating expenses (excluding depreciation) $ 132,400
Depreciation expense 20,750 153,150
Other gains (losses)
Loss on sale of equipment (5,125)
Income before taxes 139,225
Income taxes expense 24,250
Net income $ 114,975

FORTEN COMPANY
Comparative Balance Sheets
December 31
Current Year Prior Year
Assets
Cash $ 49,800 $ 73,500
Accounts receivable 65,810 50,625
Inventory 275,656 251,800
Prepaid expenses 1,250 1,875
Total current assets 392,516 377,800
Equipment 157,500 108,000
Accumulated depreciation—Equipment (36,625) (46,000)
Total assets $ 513,391 $ 439,800
Liabilities and Equity
Accounts payable $ 53,141 $ 114,675
Long-term notes payable 75,000 54,750
Total liabilities 128,141 169,425
Equity
Common stock, $5 par value 162,750 150,250
Paid-in capital in excess of par, common stock 37,500 0
Retained earnings 185,000 120,125
Total liabilities and equity $ 513,391 $ 439,800

Additional Information on Current Year Transactions
The loss on the cash sale of equipment was $5,125 (details in b).
Sold equipment costing $46,875, with accumulated depreciation of $30,125, for $11,625 cash.
Purchased equipment costing $96,375 by paying $30,000 cash and signing a long-term notes payable for the balance.
Paid $46,125 cash to reduce the long-term notes payable.
Issued 2,500 shares of common stock for $20 cash per share.
Declared and paid cash dividends of $50,100.

Required:
Prepare a complete statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.)