Question
Presented here are the financial statements of Wildhorse Company. Wildhorse Company Comparative Balance Sheets December 31 Assets 2022 2021 Cash $37,100 $20,100 Accounts receivable 32,900
Presented here are the financial statements of Wildhorse Company.
Wildhorse Company Comparative Balance Sheets December 31 | ||||||
---|---|---|---|---|---|---|
Assets | 2022 | 2021 | ||||
Cash | $37,100 | $20,100 | ||||
Accounts receivable | 32,900 | 19,500 | ||||
Inventory | 29,900 | 20,900 | ||||
Property, plant, and equipment | 59,700 | 77,500 | ||||
Accumulated depreciation | (29,100 | ) | (23,400 | ) | ||
Total | $130,500 | $114,600 | ||||
Liabilities and Stockholders Equity | ||||||
Accounts payable | $28,300 | $17,000 | ||||
Income taxes payable | 7,000 | 8,400 | ||||
Bonds payable | 27,300 | 33,600 | ||||
Common stock | 17,200 | 14,600 | ||||
Retained earnings | 50,700 | 41,000 | ||||
Total | $130,500 | $114,600 |
Wildhorse Company Income Statement For the Year Ended December 31, 2022 | ||||
---|---|---|---|---|
Sales revenue | $241,100 | |||
Cost of goods sold | 176,400 | |||
Gross profit | 64,700 | |||
Selling expenses | $17,550 | |||
Administrative expenses | 5,850 | 23,400 | ||
Income from operations | 41,300 | |||
Interest expense | 3,600 | |||
Income before income taxes | 37,700 | |||
Income tax expense | 7,540 | |||
Net income | $30,160 |
Additional data:
1. | Depreciation expense was $15,700. | |
2. | Dividends declared and paid were $20,460. | |
3. | During the year equipment was sold for $7,800 cash. This equipment cost $17,800 originally and had accumulated depreciation of $10,000 at the time of sale. | |
4. | Bonds were redeemed at their carrying value. | |
5. | Common stock was issued at par for cash. |
Compute free cash flow. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
Free cash flow | $Enter the free cash flow dollar amount |
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