I need help with the assessment below I cannot figure it out for he life of me Help with these parts below would be greatly appreciated Preparing statement of cash flow (Preparation and Analysis of Statement of Cash Flows) Here are the financial statements of Falcon Company Falcon Company Comparative Balance Sheets December 31, 2016 Assets 2016 2015 Cash $13,000 $16,500 Accounts receivable 14,000 7,000 Merchandise inventory 19,000 12,500 Property, plant, and equipment $35,000 $39,000 Less Accumulated depreciation (13,500) 21,500 (12,000) 27,000 Total $67,500 $63,000 Liabilities and Stockholders Equity Accounts payable $15,500 $21,500 Income taxes payable 13,000 10,000 Bonds payable 10,000 5,000 Common stock 12,500 12,500 Retained earnings 16,500 14,000 Total $67,500 $63,000 Falcon Company Income Statement For the Year Ended December 31, 2016 Sales $143,000 Cost of goods sold 97,000 Gross profit 46,000 Selling expenses $14,000 Administrative expenses 4,500 18,500 Income from operations 27,500 Interest expense 3,500 Income before income taxes 24,000 Income tax expense 3,500 Net income $20,500 Additional data 1 Dividends of $18,000 were declared and paid 2 During the year equipment was sold for 5,000 cash This equipment originally cost 7,500, and it had a book value of 5,000 at the time of sale 3 All depreciation expense, 4,000, is in the sellling expense catagory 4 All sales and purchases are on account 5 Additional equipment was purchased for 3,500 cash Instructions (a) Prepare a statement of cash flows using the indirect method (b)(1) Compute the current cash debt coverage ratio (b)(2) Compute the cash debt coverage ratio (b)(3) Compute the free cash flow

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I need help with the assessment below  I cannot figure it out for he life of me  Help with these parts below would be greatly appreciated  Preparing statement of cash flow (Preparation and Analysis of Statement of Cash Flows) Here are the financial statements of Falcon Company  Falcon Company Comparative Balance Sheets December 31, 2016 Assets 2016 2015 Cash $13,000 $16,500 Accounts receivable 14,000 7,000 Merchandise inventory 19,000 12,500 Property, plant, and equipment $35,000 $39,000 Less  Accumulated depreciation (13,500) 21,500 (12,000) 27,000 Total $67,500 $63,000 Liabilities and Stockholders Equity Accounts payable $15,500 $21,500 Income taxes payable 13,000 10,000 Bonds payable 10,000 5,000 Common stock 12,500 12,500 Retained earnings 16,500 14,000 Total $67,500 $63,000 Falcon Company Income Statement For the Year Ended December 31, 2016 Sales $143,000 Cost of goods sold 97,000 Gross profit 46,000 Selling expenses $14,000 Administrative expenses 4,500 18,500 Income from operations 27,500 Interest expense 3,500 Income before income taxes 24,000 Income tax expense 3,500 Net income $20,500 Additional data  1  Dividends of $18,000 were declared and paid  2  During the year equipment was sold for 5,000 cash  This equipment originally cost 7,500, and it had a book value of 5,000 at the time of sale  3  All depreciation expense, 4,000, is in the sellling expense catagory  4  All sales and purchases are on account  5  Additional equipment was purchased for 3,500 cash  Instructions  (a) Prepare a statement of cash flows using the indirect method  (b)(1) Compute the current cash debt coverage ratio  (b)(2) Compute the cash debt coverage ratio  (b)(3) Compute the free cash flow

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I need help with the assessment below. I cannot figure it out for he life of me. Help with these parts below would be greatly appreciated!




Preparing statement of cash flow


(Preparation and Analysis of Statement of Cash Flows) Here are the financial statements of Falcon Company.

Falcon Company
Comparative Balance Sheets
December 31, 2016
Assets				2016		2015
Cash				$13,000		$16,500
Accounts receivable				14,000		7,000
Merchandise inventory				19,000		12,500
Property, plant, and equipment			$35,000		$39,000
Less: Accumulated depreciation			(13,500)	21,500	(12,000)	27,000
Total				$67,500		$63,000
Liabilities and Stockholders Equity
Accounts payable				$15,500		$21,500
Income taxes payable				13,000		10,000
Bonds payable				10,000		5,000
Common stock				12,500		12,500
Retained earnings				16,500		14,000
Total				$67,500		$63,000

	Falcon Company
	Income Statement
	For the Year Ended December 31, 2016
	Sales				$143,000
	Cost of goods sold				97,000
	Gross profit				46,000
	Selling expenses			$14,000
	Administrative expenses			4,500	18,500
	Income from operations				27,500
	Interest expense				3,500
	Income before income taxes				24,000
	Income tax expense				3,500
	Net income				$20,500

Additional data:
1. Dividends of	$18,000	were declared and paid.
2. During the year equipment was sold for 5,000 cash. This equipment originally cost 7,500, and it had a book value of 5,000 at the time of sale.

3. All depreciation expense, 4,000, is in the sellling expense catagory.
4. All sales and purchases are on account.
5. Additional equipment was purchased for 3,500 cash.
Instructions:
(a) Prepare a statement of cash flows using the indirect method.



	(b)(1) Compute the current cash debt coverage ratio.







	(b)(2) Compute the cash debt coverage ratio.




	(b)(3) Compute the free cash flow.