Problem 12-08A

Presented below are the financial statements of Flint Corporation.

Flint Corporation Comparative Balance Sheets December 31
Assets		2022			2021
Cash		$ 52,500			$ 30,000
Accounts receivable		30,000			21,000
Inventory		42,000			30,000
Property, plant, and equipment		90,000			117,000
Accumulated depreciation		(48,000	)		(36,000	)
Total		$166,500			$162,000
Liabilities and Stockholders Equity
Accounts payable		$ 28,500			$ 22,500
Income taxes payable		10,500			12,000
Bonds payable		25,500			49,500
Common stock		27,000			21,000
Retained earnings		75,000			57,000
Total		$166,500			$162,000

Flint Corporation Income Statement For the Year Ended December 31, 2022
Sales revenue				$363,000
Cost of goods sold				262,500
Gross profit				100,500
Selling expenses		$27,000
Administrative expenses		9,000		36,000
Income from operations				64,500
Interest expense				4,500
Income before income taxes				60,000
Income tax expense				12,000
Net income				$ 48,000

Additional data:

1.		Depreciation expense was $26,250.
2.		Dividends declared and paid were $30,000.
3.		During the year equipment was sold for $12,750 cash. This equipment cost $27,000 originally and had accumulated depreciation of $14,250 at the time of sale.

Further analysis reveals the following.

1.		Accounts payable pertain to merchandise suppliers.
2.		All operating expenses except for depreciation were paid in cash.
3.		All depreciation expense is in the selling expense category.
4.		All sales and purchases are on account.

Prepare a statement of cash flows for Flint Corporation using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Flint Corporation Statement of Cash Flows Choose the accounting period

December 31, 2022For the Year Ended December 31, 2022For the Quarter Ended December 31, 2022

Compute free cash flow. (Show a negative free cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Free cash flow

$Enter free cash flow in dollars