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financial statement This Year Last Year Assets Cash $ 12.00 $ 23.00 Accounts receivable 68.00 61.00 Inventory 115.00 102.60 Total current assets 195.00 186.60 Property,
financial statement
This Year | Last Year | ||||
Assets | |||||
Cash | $ | 12.00 | $ | 23.00 | |
Accounts receivable | 68.00 | 61.00 | |||
Inventory | 115.00 | 102.60 | |||
Total current assets | 195.00 | 186.60 | |||
Property, plant, and equipment | 258.00 | 212.00 | |||
Less accumulated depreciation | 52.80 | 39.60 | |||
Net property, plant, and equipment | 205.20 | 172.40 | |||
Total assets | $ | 400.20 | $ | 359.00 | |
Liabilities and Stockholders Equity | |||||
Accounts payable | $ | 69.00 | $ | 55.00 | |
Common stock | 154.00 | 118.00 | |||
Retained earnings | 177.20 | 186.00 | |||
Total liabilities and stockholders equity | $ | 400.20 | $ | 359.00 | |
For this year, the company reported net income as follows:
Sales | $ | 1,300.00 |
Cost of goods sold | 780.00 | |
Gross margin | 520.00 | |
Selling and administrative expenses | 500.00 | |
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.
2. Compute Carmonos free cash flow for this year.
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