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: $701,000 190,000 511,000 216,000 points 295,000 eBook Gain on sale of equipment Income before taxes Income taxes Net income 5,000 300,000 120,000 $180,000 Print References Its balance sheet amounts at the end of Years 1 and 2 are as follows: Year 2 Year 1 Assets Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment $ 118,600 $ 88,700 264,000 116,000 319,000 288,000 19,000 9,500 711,100 635,000 511, 700 508,000 Less accumulated depreciation_165, 100 130,100 Net property, plant, and equipment Loan to Hymans Company Total assets Liabil 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 469,900377,900 43,000 $1,224,000 $889,600 ities and Stockholders $ 310,000 $268,000 60,000 80,600 408,600 198,000 115,000 523,600 271,000 244,000 95,000 582,000366,000 $1,224,000 $889,600 49,000 85,000 444,000 642,000 338,000 Equipment that had cost $30,300 and on which there was accumulated depreciation of $11,500 was sold during Year 2 for $23,800. 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 2 642,000_ 523,600 271,000 244,00095,000 582,000 3661000 Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 338,000 10 points $1,224,000 $889,600 Equipment that had cost $30,300 and on which there was accumulated depreciation of $11,500 was sold during Year 2 for $23,800. The company declared and paid a cash dividend during Year 2. It did not retire any bonds or repurchase any of its own stock. eBook Print 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 References Complete this question by entering your answers in the tabs below. Required Required Required Using the indirect method, compute the net cash provided by/used in operating activities 1 2 3 for Year 2. (List any deduction in cash outflows as negative amounts.) Joyner Company Statement of Cash Flows-Indirect Method (partial)
