Joyner Company's income statement for Year 2 follows: Sales $ 718,000 148,000 570,000 216,000 354,000 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 8,000 362,000 144,800 $ 217,200 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Year 2 Year 1 $ 167,200 258,000 318,000 9,000 752,200 622,000 165,900 456, 100 46,000 $1,254,300 $ 98,700 113,000 289,000 18,000 518,700 504,000 130,300 373,700 $ 892,400 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 $ 318,000 42,000 84,500 444,500 191,000 635,500 335,000 283,800 618,800 $1,254,300 $ 260,000 57,000 80,400 397,400 112,000 509,400 285,000 98,000 383,000 $ 892,400 Equipment that had cost $31,900 and on which there was accumulated depreciation of $11,600 was sold during Year 2 for $28,300. 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 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 FlowsIndirect Method (partial) Required 1 Required 2 Required 3 Prepare a statement of cash flows for Year 2. (List 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 Required 1 Required 1 Required 2 Required 2 Required 3 Required Compute the free cash flow for Year 2. (Negative amount should be indicated by a minus sign.) Free cash flow