P3.2 Cash Flow Statement and Free Cash Flow ScheduleJake and Phil Company: We provide financial statement forecasts for the Jake and Phil Company in Exhibit P3.2 (comparative balance sheets, an income statement, and statement of retained carings). During Year 3, the company sold property, plant, and equipment with an acquisition cost of $5.000. Its income tax rate is 40%. The company needs an increase in cash of $1,000 to operate next ycar. Prepare a Statement of Cash Flows, a Free Cash Flow Schedule using the Earnings Before Interest and Taxes method and a Free Cash Flow Schedule using the Cash Flow from Operations method for Year 3.