Use the following income statements and balance sheets to calculate Garnet Inc.’s free cash flow for 2003.

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Garnet Inc. INCOME STATEMENT Net sales Costs (except depreciation) Depreciation Total operating costs Earnings before interest and taxes (EBIT) Less interest Earnings before taxes Taxes (40%) Net income 2003 2002 $530.0 400.0 $500.0 380.0 30.0 25.0 $430.0 $405.0 100.0 95.0 23.0 21.0 77.0 74.0 30.8 29.6 $ 46.2 $ 44.4