Problem 12-08A Presented below are the financial statements of Larkspur Company. Larkspur Company Comparative Balance Sheets December 31 Assets 2022 Cash $ 94,500 Accounts receivable 54,000 Inventory 75,600 Property, plant, and equipment 162,000 Accumulated depreciation (86,400) Total $299,700 2021 $ 54,000 37,800 54,000 210,600 (64,800 ) $291,600 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $ 51,300 18,900 45,900 48,600 135,000 $299,700 $ 40,500 21,600 89,100 37,800 102,600 $291,600 $653,400 472,500 180,900 Larkspur Company Income Statement For the Year Ended December 31, 2022 Sales revenue Cost of goods sold Gross profit Selling expenses $48,600 Administrative expenses 16,200 Income from operations Interest expense Income before income taxes 64,800 116,100 8,100 108,000 21,600 Income tax expense Net income $ 86,400 1191 - Help System Announcements Otopu yuure Common stock Retained earnings 48,600 135,000 $299,700 METAL 37,800 102,600 $291,600 Total $653,400 472,500 Larkspur Company Income Statement For the Year Ended December 31, 2022 Sales reven Cost of goods sold Gross profit Selling expenses $48,600 Administrative expenses 16,200 Income from operations Interest expense Income before income taxes 180,900 64,800 116,100 8,100 Income tax expense 108,000 21,600 $ 86,400 Net income Additional data: 1. Depreciation expense was $47,250. 2. Dividends declared and paid were $54,000. 3. During the year equipment was sold for $22,950 cash. This equipment cost 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. JUIS PURULUR. Your answer is partially correct. Try again. Prepare a statement of cash flows for Larkspur Company using the direct method. (Show Larkspur Company Statement of Cash Flows For the Year Ended December 31 2022 Cash Flows from operating Activities x Cash Receipts from Customers 691200 Less y Cash Payments E To Suppliers 483300 For Operating Expenses 64800 For Income Taxes 24300 For Interest 8100 580500 x Net Cash Provided by Operating Activities 89100 Cash Flows from Investing Activities Sale of Equipment 22950 Cash Flows from Financing Activities Cash Flows from Investing Activities Sale of Equipment 22950 Cash Flows from Financing Activities Issuance of Common Stock 10800 Payment of Dividends -54000 Redemption of Bonds 43200 Net Cash used by Financing Activities Net Increase in Cash 66150 Cash at Beginning of Period 54000 Cash at End of Period 120150 LINK TO TEXT x Your answer is incorrect. Try again. Compute free cash flow. (Show a negative free cash flow with either a-signe.g. 15,000 or in pa Free cash flow 143100 Click if you would like to Show Work for this question: Open Show Work LINK TO TEXI