Listed below are a series of transactions that occurred during the first three years of operations for Freeman Fields Company 1. On January 1, 2016, Freeman paid $50,000 to acquire a 10-year patent on a lawn fertilizer technology 2. On January 1, 2016, Freeman purchased a warehouse for $600,000 cash and a $240,000, 8-year note payable. The warehouse is estimated to be able to store up to $140,000 in inventory. The building had an estimated useful life of 15 years and a $18,000 residual value. 3. On January 1, 2016, Freeman purchased a used Model 16 sod harvester for $48,000. Freeman also, paid $2,300 for delivery and setup, and $2,700 in sales taxes. The harvester had an estimated useful life of 4 years and a residual value of $5,000 4. On January 1, 2017, Freeman issued 100 shares of $1 par, common stock to an equipment dealer to purchase a used dump truck. Additionally, Freeman paid the dealer $5,000 cash. The truck had a quoted market price of $30,000. The truck also had an estimated useful life of 3 years and a salvage value of $3,000 5. On January 1, 2018, Freeman paid $8,500 for repairs to the sod harvester. In addition to required annual maintenance costing $1,500, Freeman also installed a new engine which increased the useful life of the harvester by two years. 6. On June 30, 2018, Freeman sold the Model 16 Sod Harvester for $36,000. 7. On December 31, 2018, Freeman sold its patent to Morgan Holding Company for $28,000 On December 31, 2018 Freeman internally developed a new revolutionary lawn fertilizer technology. Research and development costs totaled $30,000, but market specialists estimate the patent would be worth S68,000 on the open market. 8. Required: A. Prepare any necessary journal entries for transactions listed above. B. C alculate Freeman's total depreciation expense for the years 2016, 2017, and 2018. Assume Freeman uses straight-line depreciation. Show what would be reported on the 2016, 2017 and 2018 statements of cash flow related to the above transactions under both the direct and indirect methods. Present the numbers as they would be displayed in comparable statements of cash flow C