PAP Inc.s financial statements are as follows: PAP Inc. Balance sheet For the Period ended 2016 and 2017 ($000) ASSETS 2016 2017 Cash $ 200 $ 150 Accounts receivable 450 425 Inventory 550 625 CURRENT ASSETS $ 1,200 $ 1,200 Plant & equipment $2,200 $2,600 Less Accumulated Depreciation (1,000) (1,200) Net Plant & equipment $1,200 $1,400 Total Assets $2,400 $2,600 LIABILITIES & Equity Accounts payable $ 200 $150 Notes Payable current (9%) 0 150 CURRENT LIABILITIES $ 200 $300 Bonds $ 600 $600 Owners Equity Common stock $900 $900 Retained earnings 700 800 Total Owners Equity $ 1,600 $1,700 Total liabilities & Equity $2,400 $2,600 PAP Inc. Income Statements (000s) 2016 2017 Sales $1,200 $1,450 COGS 700 850 Gross Profit $500 $600 Selling, general, ADM Expenses 30 40 Depreciation 220 200 Operating $ 250 $ 360 2 Income Interest expense 50 64 EBT $200 $ 296 Taxes (40 %) 80 118 Net income $120 $178 (10 pts) Using the financial statements above, Calculate PAP Inc.s free cash flows from operation for year ending in 2017? (10 pts) What are the uses of PAPs FCFs?