Note: Homework is graded on completion basis. Make sure you make a thorough effort on each question to ensure full points are earned. Note: Part 1 and Part 2 are not related problems. Part 1 - Balance Sheet Credit $ Debit 197.0 435.000 S 25,000 997,000 153,00 600,0X 60,000 1,040,00 152,000 260,00 160,000 195,000 299,000 277,000 455,000 Cash Accounts Receivable Allowance for Doubtful Accounts Notes Receivable Supplies Inventory Debt Investments (trading cost 1450XX Equipment Accumulated Deperdiation Equipment Building Accumulated Deperclation Building Land Franchises Patents Debt Investments (long term Equity Investments (long term) Accounts Payable Salaries and Wages Payable Notes Payable (short term) Dividends Payable Accrued Liabilities Notes Payable (long term) Bonds Payable Common Stock, Par $ 5.00 APIC Treasury Stock Retained Eamings Cash Dividends Sales Revenue Sales Discounts Sales Returns and Allowances COGS Purchase Discounts Freight in Selling Expenses Administrative Expenses Interest Expense Rent Revenue Gain Income Tax Expense Investment Revenue 90,000 135,000 96,000 900,000 1,000,000 1,000,000 80,000 $ 191.00 78,000 S 8,100,000 4,800,000 $ $ S $ 2.0X2,000 900,00 211.02 80,000 S 63.000 12,315,000 S 12,315,00 S Required: Prepare the balance sheet. Note: Ignore income taxes. Note: Ending Retained Earnings is $410,000. I am providing this information to you so that you do not need to prepare an income statement and retained earnings statement. 1 Part 2 - Statement of Cash Flows 12/31/15 1/1/15 Cash Accounts Receivable Equipment Accumulated Depreciation - Equipment $ $ $ $ 120,000 206,000 139,000 (17,000) 448,000 $ $ $ $ $ 113,000 188,000 122,000 (11,000) 412,000 Accounts Payable Common Stock Retained Eamings $ S $ $ 220,000 100,000 128,000 448,000 $ $ $ $ 215,000 80,000 117,000 412,000 Other Information Net income reported Dividends paid $ $ 144,000 133,000 New Equipment was puchased and none was sold. Required: 1. Prepare the statement of cash flows for the year 2015. 2. Compute free cash flow