NOSKER COMPANY Income Statement For the Year Ended December 31, 2020 Sales revenue Cost of goods sold Gross profht Operating expenses Income from operations Interest expense Income before income taxes Income tax expense Net income $241,150 175,100 66,050 23,050 43,000 3,500 39,500 7,200 $32,300 Additional data: 1. 2. 3. 4. Dividends declared and paid were $32,000. During the year, equipment was sold for $8,500 cash. This equipment cost $18,050 originally and had a book value of $8,500 at the time of sale All depreciation expense, $16,050, is in the operating expenses. All sales and purchases are on account. NOSKER COMPANY Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income 32,300 Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense Increase in Inventory ncrease in Accounts Receivable Increase in Accounts Payable Decrease in Income Taxes Payable 16,050 (5300) (12700) 11450 (800) 8700 Net Cash Provided by Operating Activities 1000 Cash Flows from Investing Activities Sale of Equipment Net Cash Provided by Investing Activities 8,500 8,500 Cash Flows from Financing Activities ssuance of Common Stock Redemption of Bonds Payment of Dividends Net Cash Used by Financing Activities 3700 (6500) (32,000) (34800) Net Increase in Cash 14700 Cash at Beginning of Period 20,800 Cash at End of Period 35,500 Compute free cash flow. (Enter negative amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Free Cash Flow