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Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below.

RED, INC. Comparative Balance Sheets December 31, 2021 and 2020 ($ in millions)
	2021				2020
Assets
Cash	$	40			$	148
Accounts receivable		200				148
Prepaid insurance		12				9
Inventory		300				191
Buildings and equipment		432				366
Less: Accumulated depreciation		(135	)			(256	)
	$	849			$	606
Liabilities
Accounts payable	$	103			$	132
Accrued liabilities		11				19
Notes payable		66				0
Bonds payable		189				0
Shareholders Equity
Common stock		416				416
Retained earnings		64				39
	$	849			$	606

RED, INC. Statement of Income For Year Ended December 31, 2021
($ in millions)
Revenues
Sales revenue				$	2,200
Expenses
Cost of goods sold	$	1,467
Depreciation expense		41
Operating expenses		601			2,109
Net income				$	91

Additional information from the accounting records:

1. During 2021, $246 million of equipment was purchased to replace $180 million of equipment (90% depreciated) sold at book value.
2. In order to maintain the usual policy of paying cash dividends of $66 million, it was necessary for Red to borrow $66 million from its bank.

Required: Prepare the statement of cash flows of Red, Inc., using the direct method to report operating activities. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.)

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