A firm reported comprehensive income of $376 million for 2012, consisting of $500 million in operating income (after tax) less $124 million of net financial expense (after tax). It also reported the following comparative balance sheet (in millions of dollars):

Calculate free cash flow using Method 1 and Method 2.

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Balance Sheet 2012 2011 2012 2011 Operating cash Short-term investments (at market) Accounts receivable Inventory Property and plant Accounts payable 1,200 1,040 50 550 500 Accrued liabilities 390 450 1,840 1,970 Long-term debt 790 940 910 840 2,710 4,890 Common equity 1,870 1,430 4,890 5,300 2,840 5,300