Exercise 12-6 Prepare a Statement of Cash Flows; Free Cash Flow [LO12-1, LO12-2, LO12-3] Comparative financial statement data for Carmono Company follow: This Year Last Year Assets Cash $ 13.00 $ 25.00 Accounts receivable 72.00 65.00 Inventory 120.00 107.80 Total current assets 205.00 197.80 Property, plant, and equipment 264.00 216.00 Less accumulated depreciation 54.40 40.80 Net property, plant, and equipment 209.60 175.20 Total assets $ 414.60 $ 373.00 Liabilities and Stockholders Equity Accounts payable $ 72.00 $ 57.00 Common stock 162.00 124.00 Retained earnings 180.60 192.00 Total liabilities and stockholders equity $ 414.60 $ 373.00 For this year, the company reported net income as follows: Sales $ 1,400.00 Cost of goods sold 840.00 Gross margin 560.00 Selling and administrative expenses 540.00 Net income $ 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, prepare a statement of cash flows for this year. (List any deduction in cash and cash outflows as negative amounts. Round your intermediate calculations and final answers to 2 decimal places.) 2. Compute Carmonos free cash flow for this year. (Negative amount should be indicated by a minus sign. Round your intermediate calculations and final answer to 2 decimal places.)