Comparative financial statement data for Carmono Company follow. This Year Last Year Assets Cash Accounts receivable Inventory Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Total assets Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity 5 5.50 42.00 82.50 130.00 219.00 42.40 176160 S306.60 $ 10.00 35.00 68.80 113.80 186.00 31.80 154.20 $268.00 $ 49.50 102.00 155.10 $306.60 $ 42.00 79.00 147.00 $268.00 For this year, the company reported net income as follows: Sales Cost of goods sold Gross margin Selling and administrative expenses Net nome 650.00 390.00 260.00 240.00 20.00 This year Carmono declared and paid a cash dividend. There were no sales of property, plant, and equipment during this year. The company did not repurchase any of its own stock this year Required: 1. Using the indirect method, prepore a statement of cash flows for this year, 2. Compute Carmono's free cash flow for this year A comparative balance sheet for Lomax Company containing data for the last two years is as follows Lomax Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Loans to subsidiaries Total assets Liabilities and Stockholders' Equity Current liabilities Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonda payable Total liabilities Stockholders' equity Common stock Retained earnings Total stockholdes out Total liabilities and stockholders Equity 82,000 $ 58,800 612,000 637.500 621,200 431,000 18,800 10,500 1, 334,000 1, 137, 800 2.425,000 1,844,000 628, 200 569,900 1,796,800 103) 100 163,000 131,000 75,500 $3,364,900 82,650,400 887, 6005 581,000 31,600 51, 900 147.300 126.800 3,066,500 759,700 675.000 433,000 1.112,000 1,011,000 511, 400 46.700 53.364,200 $2,650.400 Seved 1.796.800 1,274,100 103,100 163.000 131,000 75.500 $3,364,900 $2,650,400 Het property, plant, and equipment Long-term investments Loans to subsidiaries Total sets Liabilities and Stockholders' Beity Current liabilities Accounts payable Accrued Isabilities Income taxes payable Total current liabilities Bonds payable Total Liabilities Stockholders' equity Comon stock Retailed carings Total stockholders' equity Total abilities and stockholders' equity $ 307, 600501.000 31.600 51,900 147,300 126.800 1,066,500 675,000 433,000 1701300 1.112.000 1,011.000 43.364.100 2.650,400 The following additional information is available about the company's activities during this year The company declared and poldo cash dividend this year b. Bonds with a principal balance of $391000 were repaid during this yean c. Equipment was sold during this year for $75,500. The equipment had cost $152.000 and had $53 200 in accumulated depreciation on the date of sole d. Long-term investments were told during the year for 5132.000 These investments had cost $59.900 when purchased several yoongo The subsidiaries did not repay any outstanding loons during the year fla intrare Autheva
