The comparative statement of financial position of Pina Colada Corporation as at December 31, 2020, follows:

Note : I tried to do it for Net free cash, but the answer was incorrect, it is not 40300,

I know somehow the depreciation might be wrong, but I am confused, this is my steps :

Net income				37900
Adjustments to reconcile net income
to Net cash provided by operating activities
Depreciation expense			7200
Increase In AR			-1900
Increase in Acct Payable			10000
				15300
				53200
NET CASH PROVIDED BY OPERATING ACTIVITIES					53200
less		Dividends Paid			-12900
Free Cashflow					40300

Thank you for your time!

View Policies Show Attempt History Current Attempt in Progress Your answer is partially correct. The comparative statement of financial position of Pina Colada Corporation as at December 31, 2020, follows: PINA COLADA CORPORATION Statement of Financial Position December 31 Assets Cash Accounts receivable Equipment Less: Accumulated depreciation Total Liabilities and Shareholders' Equity Accounts payable Common shares Retained earnings Total December 31 2020 $ 50.000 89.200 27.100 (6,300) $ 160,000 2019 $ 4.000 87.300 22.600 (11.900 $ 102,000 $ 20,000 100.000 40.000 $ 160,000 $ 10,000 77.000 15.000 $ 102,000 Net income of $37,900 was reported and dividends of $12,900 were declared and paid in 2020. New equipment was purchased, and equipment with a carrying value of $4,500 (cost of $11,700 and accumulated depreciation of $7,200) was sold for $7,800. (a) Calculate the current ratio and debt to total assets ratio as at December 31, 2019 and 2020. Calculate the free cash flow for December 31, 2020. (Round answers to 2 decimal places, e.g. 52.75.)