Joyner Company's income statement for Year 2 follows: $ Sales 905,000 Cost of goods sold 497,750 Gross margin 407,250 Selling and administrative 334,000 expenses 73,250 7,000 80,250 24,075 $ 56,175 Net operating income Nonoperating items: Gain on sale of equipment Income before taxes Income taxes Net income Its balance sheet amounts at the end of Years 1 and 2 are as follows: Assets Cash and cash equivalents 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 Year 1 $ 21,900 134,000 Year 2 $ 22,475 199,000 286,000 9,000 18,000 516,475 432,900 259,000 520,000 413,000 130,000 123,900 390,000 289,100 43,000 $ 0 $ 949,475 722,000 Liabilities and Stockholders' Equity Accounts payable $ 314,000 $ 250,000 Accrued liabilities 17,000 34,000 Income taxes payable 41,000 41,000 Total current liabilities 372,000 325,000 Bonds payable 184,000 71,000 Total liabilities 556,000 396,000 Common stock 290,000 245,000 Retained earnings 103,475 81,000 Total stockholders' equity 393,475 326,000 Total liabilities and stockholders' equity $ $ 949,475 722,000 Equipment costing $42,000 with accumulated depreciation of $34,000 was sold during Year 2 for $15,000. The company paid a cash dividend during Year 2 but did not retire any bonds or repurchase any of its own stock. Required: For Year 2: 1. Determine the net cash provided by (used in) operating activities using the indirect method. 2. Prepare a statement of cash flows. 3. Compute the free cash flow. Required: For Year 2: 1. Determine the net cash provided by (used in) operating activities using the indirect method. 2. Prepare a statement of cash flows. 3. Compute the free cash flow. Complete this question by entering your answers in the tabs below. Required Required Required 2 Determine the net cash provided by (used in) operating activities using the indirect method for Year 2. Note: Cash outflows and amounts to be deducted should be indicated with a minus sign. Joyner Company Statement of Cash Flows-Indirect Method (partial) < Required 1 Required 2 > Complete this question by entering your answers in the tabs below. Required Required Required 1 2 3 Prepare a statement of cash flows for Year 2. Note: Cash outflows and amounts to be deducted should be indicated with a minus sign. Joyner Company Statement of Cash Flows For Year 2 Operating activities: Investing activities: Financing activities: 0 0 0 Beginning cash and cash equivalents Ending cash and cash equivalents 0 < Required 1 Required 3 > Complete this question by entering your answers in the tabs below. Required Required Required 1 2 3 Compute the free cash flow for Year 2. Note: Negative amount should be indicated by a minus sign. Free cash flow < Required 2 Required 3> G