Zielinski OAO issued the following statement of cash flows for 2017.

(a) Compute free cash flow for Zielinski.
(b) Explain why free cash flow often provides better information than "Net cash provided by operating activities."

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ZIELINSKI OAO Statement of Cash Flows-Indirect Method For the Year Ended December 31, 2017 Cash flows from operating activities 59,000 Net income Adjustments to reconcile net income to net cash provided by operating activities Depreciation expense Loss on disposal of plant assets Decrease in accounts receivable Increase in inventory Decrease in accounts payable 9,400 3,300 8,500 (5,000) (2,500) 13,700 72,700 Net cash provided by operating activities Cash flows from investing activities Sale of investments Purchase of equipment 3,100 (26,000) Net cash used by investing activities (22,900) Cash flows from financing activities Issuance of shares Payment on long-term note payable Payment for dividends 20,000 (10,000) (16,000) Net cash used by financing activities Net increase in cash Cash at beginning of year Cash at end of year (6,000) 43,800 13,000 56,800