(Computing free cash Nows and financing cash flows to the lance sheet mud normattiment or Parents compete tre command a friencing on to Calculate the true cash flows using the following we (Round to the rear door. NOTE vot caur town patient and chwives) FREE GASH FLOWS After-tax cash flows from operations Ahorax cash flows from ons Change in net operating woning Decrease in net operating working capital Free cash flows Calculate the financing cash flows using the flowing found to do NOTE FINANCING CASH FLOWS Cash flows distributed to investors 2015 $ 1,457 854 $ 603 Pamplin Inc. Income Statement for Years Ended 12/31/2014 and 12/31/2015 2014 Sales $ 1,200 Cost of goods sold 700 Gross profit $ 500 Seling, general and administrative expenses 30 Depreciation 250 Operating income $ 2: Interest expense 50 Net income before taxes $ 200 80 Taxes (40%) $ 120 Net income $ $ 220 45 208 253 $ 350 57 $ 293 117 $ 176 Pamplin Inc. Balance Sheet at 12/31/2014 and 12/31/2015 ASSETS 2015 2014 $ 200 450 550 $ 160 420 628 Cash Accounts receivable Inventory Current assets Plant and equipment Less accumulated depreciation Net plant and equipment $ 1,200 $ 1,208 $ 2,601 (1,208) $ 2.200 (1,000) $ 1.200 $ 2,400 $ 1,393 Total assets $ 2,601 LIABILITIES AND OWNER'S EQUITY 2014 2015 $ 200 Accounts payable Notes payable-current (9%) Current liabilities 152 146 0 $ 200 $ 298 Bonds S 600 600 Care anuit