Chapter 14 - Homework Saved Exercise 14-3 Calculating Free Cash Flow (L014-3) 0.55 points Apex Company prepared the statement of cash flows for the current year that is shown below. eBook $ 40,000 Print References $ 22,00 (60,000) (25,000) 9.000 55,00 (12,000) 5,000 Apex Company Statement of Cash Flows-Indirect Method Operating activities: Net income Adjustments to convert net income to cash basis: Depreciation Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Increase in accounts payable Decrease in accrued liabilities Increase in income taxes payable Net cash provided by (used in) operating activities Investing activities: Proceeds from the sale of equipment Loan to Thomas Company Additions to plant and equipment Net cash provided by (used in) investing activities Financing activities: Increase in bonds payable Increase in common stock Cash dividends Net cash provided by (used in) financing activities Net decrease in cash and cash equivalents Beginning cash and cash equivalents Ending cash and cash equivalents (6.000) 34,000 14,000 (40.NO) (110,000) (136,000) 90,000 40,000 (30,000) 100,000 (2,880) 27,000 25,000 $ Required: Comnute Anex Company's free cash flow for the current vear (Negative amount should be indicated by a minus sian1 mapter 14 - Homework Saved Apex Company prepared the statement of cash flows for the current year that is shown below: ints $ 40,000 eBook $ 22,000 (60,000) (25, eee) 9,000 55,000 (12,000) 5,000 Hint Print 6,000) References Apex Company Statement of Cash Flows-Indirect Method Operating activities: Net income Adjustments to convert net income to cash basis: Depreciation Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Increase in accounts payable Decrease in accrued liabilities Increase in income taxes payable Net cash provided by (used in) operating activities Investing activities: Proceeds from the sale of equipment Loan to Thomas Company Additions to plant and equipment Net cash provided by (used in) investing activities Financing activities: Increase in bonds payable Increase in common stock Cash dividends Net cash provided by (used in) financing activities Net decrease in cash and cash equivalents Beginning cash and cash equivalents Ending cash and cash equivalents 34, eee 14, eee (40,000) (110,000) (136,000) 90,000 40,000 (30,000) 100,000 (2,000) 27,000 25,000 $ Required: Compute Apex Company's free cash flow for the current year. (Negative amount should be indicated by a minus sign.) Free cash flow Pron 13 of 12 ! Next