i must be missing something in the cash flows indirect method and the statement of cashflows because i cant figure out the free cash flow. please tell me where im missing parts and show work for free cash flow for year 2
Saw Joyner Company's income statement for Year 2 follows: Sales Cost of goods sold Gross margin Selling and administrative expenses Het operating Income Nonoperating Items Gain on sale of equipment Income before taxes Income taxes Set income $718,000 94,000 624,000 150.800 473,200 3,000 481,200 144,360 $336,840 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Year 2 Tear Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Les accumulated depreciation Net property, plant, and equipment toan to Myans Company Total aseta Liabilities and Stockholders' quity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders equity $126.940 226,000 318.000 10.000 380340 625,000 165.300 459.100 40,000 51.388,040 3.30,500 119.000 285.000 20.000 504300 $17,000 131,300 SE10.200 $ 315,000 49,000 440,000 209,000 653.000 332,000 298240 230,260 $1,300,000 5255,000 54,000 31,200 401,200 215.000 512200 279.000 35.000 312.000 $9.200 Equipment that had cost $31,600 and on which there was accumulated depreciation of $11.600 was sold during Year 2 for $28.000 The company declared and paid a cash dividend during Year 2. It did not retire any bonds or repurchase any of its own stock Required: 1. Using the Indirect method, compute the net cash provided by used in operating activities for Year 2 2. Prepare a statement of cash flows for Year 2 3. Compute the free cash flow for Year 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Using the indirect method, compute the net cash provided by used in operating activities for Year 2. (Ustany deduction in cash outflows as negative amounts.) - Equipment that had cost $34,600 and on which there was accumulated depreciation of $11,600 was sold during Year 2 for $28.000 The company declared and paid a cash dividend during Year 2. It did not retire any bonds or repurchase any of its own stock Required 1. Uang the indirect method, compute the net cash provided by used in operating activities for Year 2. 2. Prepare a statement of cash flows for Year 2 2. Compute the free cash flow for Year 2 Complete this question by entering your answers in the tabe blow. Reged Required 2 Regerea Chinto the direct method, compute the net cash provided by used in operating site for Year 2. (stry deduction in can to move mount) Jean Game Batman Cush-direct Methods etcome Amarante os Inicial Ingin merry 39.0001 De 5.000 Increase Din aces Gainon of Human 40200 45.00 5.50 7.00 Netco poded by sing fo Required Using the indred menos computerenie cash provided byused in operating activities for your 2 3. Come the free cash flow for Complete the question by entering your answers in the tabs below Prepare to call town to ear 2. (en cath and can also Simulas S 11 Equipment that had com 31500 and on which there was accumulated depreciation of 1.600 was sold during Year 2 for $28.000 The company declined and paident duidend during Year 2 dnehods of purchase any of its own stock Required: Using the direct method. compute the net cash provided by used in operating activities for Year 2 2 Compute the free cash flow for Year 2 Complete this question by entering your newer in the tabt below RA Cate the rear whened by Joyner Company's income statement for Year 2 follows: Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items! Gain on sale of equipment Income before taxes Income taxes Net Income $718,000 94,000 624,000 150, 800 473,200 8,000 481,200 144,360 $336,840 Its balance sheet amounts at the end of Years 1 and 2 are as follows: ces Year 2 Year 2 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Het property, plant, and equipment Loan to Wynana Company Total assets Liabilities and stockholders' quity Accounts payable Accrued liabilities Income taxes payable Total current liabiliti honde payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 326,940 226,000 318,000 10,000 880,940 625,000 165, 900 459,100 48,000 $1,388,040 $ 80,500 119,000 285,000 20,000 504,500 517,000 131300 385, 700 0 $ 890,200 $ 315,000 49,000 84.800 440,000 209.000 657.000 332,000 398, 240 730, 240 $1,388,040 $266,000 54,000 81,200 401,200 116.000 517,200 277,000 96.000 373,000 $899.200 Equipment that had cost $31,600 and on which there was accumulated depreciation of $11,600 was sold during Year 2 for $28,000. The company declared and paid a cash dividend during Year 2. It did not retire any bonds or repurchase any of its own stock. Required: 1. Using the Indirect method, compute the net cash provided by used in operating activities for Year 2. 2. Prepare a statement of cash flows for Year 2. 3. Compute the free cash flow for Year 2 Required 1 Required 2 Read 3 Using the Indirect method, compute the net cash provided by/used in operating activities for Year 2. (List any dedu cash outflows as negative amounts.) Joyner Company Statement of Cash Flows--Indirect Method (partial) Net income 336,840 Adjustments to convert net income to a cash basis: Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Depreciation Increase in accounts payable Decrease in accrued liabilities Gain on sale of equipment (107.000) (33,000) 10,000 46,200 49,000 (5,000) (8,000) Increase in income taxes payable Net cash provided by operating activities (47.800) $ 289040 Required Required 2 > Joyner Compa Statement of Cash Flows For Year 2 Operating activities: Investing activities: Additions to property, plant, and equipment Loan Hyman Company Pred from sale of equipment $(139,6001 (48.000) 20.000 (150.000) Financing activities sange of bonds payable anuance of common ock Cash dividend paid 93,000 56,000 (34.500 Die verse in cash Beginning cash and cash equivalent Ending cash and cash equivalent 113.400 146,200) 80,000 34,300 5 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Tear 2 Year 1 eBook Pelet Assets Cash Accounts receivable Taventory Prepaid expenses Total current assets Property, plant, and equipment Less accumilated depreciation Net property, plant, and equipment Loan to Wynana Company Total asseta Liabilities and Stockholders' Equity Accounts payable Rended liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained ang Total stockholders' equity Total liabilities and stockholera $326.940 226,000 318.000 10.000 880,940 625,000 165,900 45%, 100 48,000 $1,388,040 $ 10,500 119.000 285,000 20.000 504,500 517,000 131,300 385,700 0 5890,200 References 5 315,000 49,000 84,800 448.000 200.000 559.800 332.000 390.240 230-240 $1,308,040 5265,000 54,000 81200 401,200 116.000 512200 277.000 96.000 373,000 9890,200 Equipment that had cost $31,600 and on which there was accumulated depreciation of $1,600 was sold during Year 2 for $28.000 The company declared and paid a cash dividend during Year 2. It did not retire any bonds or repurchase any of its own stock Required: 1. Using the Indirect method, compute the net cash provided by used in operating activities for Year 2 2. Prepare a statement of cash flows for Year 2 3. Compute the free cash flow for Year 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required) Compute the free cash flow for Year 2. (Negative amount should be indicated by a minus sign) Free capo
