Problem $9-5$

Use the income statement shown next to calculate free cash flow for Rainier Printing for $2021.$ In addition to the information in the income statement, assume that Rainier had $$650,000$ in capital expenditures and $$450,000$ in working capital investments during $2021.$

$\backslash$table$[[$Rainier Printing Income Statement$],[$January $1$ to December $31,2021($ $ thousands$),],[$Net sales,$10,000],[$Cost of sales,$6,500],[$Gross profit,$3,500],[$Operating expense,$1,150],[$Depreciation expense,$600],[$Operating income,$1,750],[$Interest expense,$300],[$Income before tax,$1,450],[$Tax$,580],[$Income after tax,$$870$