The following are the financial statements of Nosker Company.

a. Prepare a statement of cash flows using the indirect method. b. Free Cash Flow

NOSKER COMPANY Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Equipment Accumulated depreciation-equipment (29,450) (23,750) 2020 2019 $35,350 $19,150 19,750 20,500 77,600 32,100 26,150 59,150 Total $123,300 $113,250 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings $28,450 16,100 8,350 33,550 14,450 40,800 $123,300 $113,250 7,350 26,100 18,050 43,350 Total NOSKER COMPANY Income Statement For the Year Ended December 31, 2020 Sales revenue Cost of goods sold Gross profit Operating expenses Income from operations Interest expense Income before income taxes Income tax expense Net income $242,950 175,450 67,500 23,950 43,550 2,300 41,250 7,250 $34,000 Additional data: 1. Dividends declared and paid were $31,450. 2. During the year, equipment was sold for $7,900 cash. This equipment cost $18,450 originally and had a book value of $7,900 at the time of sale. 3. All depreciation expense, $16,250, is in the operating expenses. 4. All sales and purchases are on account