Flint Industries manufactures sump pumps Its most popular product is called the Super Soaker, which has a retail price of $1,090 and costs $540 to manufacture It sells the Super Soaker on a standalone basis directly to businesses Flint also provides installation services for these commercial customers, who want an emergency pumping capability (with regular and back up generator power) at their businesses Flint also distributes the Super Soaker through a consignment agreement with Menards Income data for the first quarter of 2020 from operations other than the Super Soaker are as follows Revenues $10,133,000 Expenses 7,498,000 Flint has the following information related to two Super Soaker revenue arrangements during the first quarter of 2020 1 Flint sells 30 Super Soakers to businesses in flood prone areas for a total contract price of $50,400 In addition to the pumps, Flint also provides installation (at a cost of $150 per pump) On a standalone basis, the fair value of this service is $210 per unit installed The contract payment also includes a $11 per month service plan for the pumps for 3 years after installation (Flints cost to provide this service is $7 per month) The Super Soakers are delivered and installed on March 1, 2020, and full payment is made to Flint Any discount is applied to the pump installation bundle 2 Flint ships 270 Super Soakers to Menards on consignment By March 31, 2020, Menards has sold two thirds of the consigned merchandise at the listed price of $1,090 per unit Menards notifies Flint of the sales, retains a 5 commission, and remits the cash due Flint Determine Flint Industries 2020 first quarter net income (Ignore taxes ) Net income $ Determine free cash flow for Flint Industries for the first quarter of 2020 In the first quarter, Flint had depreciation expense of $182,000 and a net increase in working capital (change in accounts receivable and accounts payable) of $229,000 In the first quarter, capital expenditures were $522,000 Flint paid dividends of $123,000 Free cash flow $

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Flint Industries manufactures sump-pumps. Its most popular product is called the Super Soaker, which has a retail price of $1,090 and costs $540 to manufacture.

Flint Industries manufactures sump-pumps. Its most popular product is called the Super Soaker, which has a retail price of $1,090 and costs $540 to manufacture. It sells the Super Soaker on a standalone basis directly to businesses. Flint also provides installation services for these commercial customers, who want an emergency pumping capability (with regular and back-up generator power) at their businesses. Flint also distributes the Super Soaker through a consignment agreement with Menards. Income data for the first quarter of 2020 from operations other than the Super Soaker are as follows.

Revenues		$10,133,000
Expenses		7,498,000

Flint has the following information related to two Super Soaker revenue arrangements during the first quarter of 2020.

1.		Flint sells 30 Super Soakers to businesses in flood-prone areas for a total contract price of $50,400. In addition to the pumps, Flint also provides installation (at a cost of $150 per pump). On a standalone basis, the fair value of this service is $210 per unit installed. The contract payment also includes a $11 per month service plan for the pumps for 3 years after installation (Flints cost to provide this service is $7 per month). The Super Soakers are delivered and installed on March 1, 2020, and full payment is made to Flint. Any discount is applied to the pump/installation bundle.
2.		Flint ships 270 Super Soakers to Menards on consignment. By March 31, 2020, Menards has sold two-thirds of the consigned merchandise at the listed price of $1,090 per unit. Menards notifies Flint of the sales, retains a 5% commission, and remits the cash due Flint.

Determine Flint Industries 2020 first-quarter net income. (Ignore taxes.)

Net income

Determine free cash flow for Flint Industries for the first quarter of 2020. In the first quarter, Flint had depreciation expense of $182,000 and a net increase in working capital (change in accounts receivable and accounts payable) of $229,000. In the first quarter, capital expenditures were $522,000; Flint paid dividends of $123,000.

Free cash flow