3)

Exercise 12-6 Prepare a Statement of Cash Flows; Free Cash Flow 2-1, LO 12-2, L012-3] Comparative financial statement data for Carmono Company follow: This Year Last Year Assets 10.00 19.00 Cash Accounts receivable 60.00 53.00 Inventory 105.00 92.20 Total current assets 175.00 64.20 Property, plant, and equipment 246.00 204.00 Less accumulated depreciation 49.60 37.20 Net property, plant, and equipment 96.40 66.80 Total assets 371.40 331.00 Liabilities and Stockholders' Equity 63.00 51.00 Accounts payable Common stock 38.00 06.00 Retained earnings 170.40 174.00 371.40 $331.00 Total liabilities and stockholders' equity For this year, the company reported net income as follows: Sales 1,100.00 Cost of goods sold 660.00 440.00 Gross margin Selling and administrative expenses 420.00 20.00 Net income