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: Gain on sale of equipment Income before taxes Income taxes Net income $ 714,000 230,000 484,000 150,400 333,600 6,000 339,600 101,880 $ 237,720 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Assets Cash Year 2 Year 1 $ 217,920 224,000 $ 50,500 140,000 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 277,000 320,000 9,500 19,000 771,420 486,500 626,000 516,000 166,000 130,100 460,000 385,900 45,000 8 $ 1,276,420 $ 311,000 42,000 85,100 $ 872,400 $ 267,000 59,000 80,400 438,100 406,400 200,000 103,000 638,100 509,400 343,000 271,000 295,320 92,000 638,320 363,000 $ 1,276,420 $ 872,400 Equipment that had cost $31,200 and on which there was accumulated depreciation of $10,400 was sold during Year 2 for $26,800. 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