Joyner Company's income statement for Year 2 follows: $ 719,000 332,000 387,000 151,000 236,000 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 10,000 246,000 98,400 $ 147,600 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Year 2 Year 1 $ 156,500 225,000 318,000 9,000 708,500 628,000 166,900 461,100 42,000 $1,211,600 $102,600 110,000 276,000 18,000 506,600 518,000 130,500 387,500 0 $894,100 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Loan to Hymans Company Total assets Liabilities and Stockholders' Equity 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 $ 314,000 48,000 84,800 446,800 207,000 653,800 349,000 208,800 557, 800 $1,211,600 $267,000 53,000 80,100 400,100 119,000 519, 100 282,000 93,000 375,000 $894,100 Equipment that had cost $31,500 and on which there was accumulated depreciation of $10,300 was sold during Year 2 for $31,200. 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. 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 3 Using the Indirect method, compute the net cash provided by used in operating activities for Year 2. (List any deduction in cash outflows as negative amounts.) Joyner Company Statement of Cash Flows-Indirect Method (partial) Required Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a statement of cash flows for Year 2. (Ulst any deduction in cash and cash outflows as negative amounts.) Joyner Company Statement of Cash Flows For Year 2 Operating activities Investing activities: Financing activities: Beginning cash and cash equivalents Ending cash and cash equivalents 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 3 Compute the free cash flow for Year 2. (Negative amount should be indicated by a minus sign.) Free cash flow
