Miroz Corporation's comparative balance sheets are presented below.

MIROZ CORPORATION
Comparative Balance Sheets

December 31                                             2017               2016
Cash                                                   RM18,700         RM 22,700
Accounts receivable                            24,700                 22,300
Investments                                        25,000                  16,000
Equipment                                         59,000                  70,000
Accumulated depreciation              (14,500)                  (10,000)
Total                                              RM112,900                RM121,000
Accounts payable                         RM 13,600                 RM11,100
Bonds payable                                6,000                         30,000
Common stock                                50,000                      45,000
Retained earnings                          43,300                        34,900
Total                                               RM112,900                RM121,000

Additional information:
1. Net income was RM17,700. Dividends declared and paid were RM9,300.
2. Equipment which cost RM11,000 and had accumulated depreciation of RM2,000 was sold for RM4,000.
3. All other changes in noncurrent account balances had a direct effect on cash flows, except the change in accumulated depreciation.
Instruction
(a) Prepare a statement of cash flows for 2017 using the indirect method.
(b) Compute free cash flow.