Presented below are the financial statements of Pharoah Company. Pharoah Company Comparative Balance Sheets December 31 Assets 2022 Cash $ 24,500 Accounts receivable 14,000 Inventory 19,600 Property, plant, and equipment 42,000 Accumulated depreciation (22,400) Total $77,700 2021 $ 14,000 9,800 14,000 54,600 (16,800 ) $75,600 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $ 13,300 4,900 11,900 12,600 35,000 $77,700 $ 10,500 5,600 23,100 9,800 26,600 $75,600 CALCULATOR FULL SCREEN $169,400 122,500 46,900 Pharoah Company Income Statement For the Year Ended December 31, 2022 Sales revenue Cost of goods sold Gross profit Selling expenses $12,600 Administrative expenses 4,200 Income from operations Interest expense Income before income taxes Income tax expense Net income 16,800 30,100 2,100 28,000 5,600 $ 22,400 Additional data: 1. Depreciation expense was $12,250. 2. Dividends declared and paid were $14,000. 3. During the year equipment was sold for $5,950 cash. This equipment cost $12,600 originally and had accumulated depreciation of $6,650 at the time of sale Prepare a statement of cash flows using the indirect method. (Show amounts that decrea Pharoah Company Statement of Cash Flows For the Year Ended December 31, 2022 9 T Cash Flows from Operating Activities - T Net Income 22400 Adjustments to reconcile net income to T Net Cash Provided by Operating Activities T Depreciation Expense A 12250 T Increase in Inventory 19600 T Increase in Accounts Receivable T Increase in Accounts Payable T Decrease in Income Taxes Payable Cash Flows from Operating Activities Cash Flows from Investing Activities Sale of Equipment Cash Flows from Financing Activities T Issuance of Common Stock A T Payment of Dividends Redemption of Bonds x Cash Flows from Operating Activities x Your answer is incorrect. Try again. Compute free cash flow. (Show a negative free cash flow with either a signe.9. -15,000 or in parenthesis 6.9. (15,000).) Free cash flow 17800 17500