Presented on the next page are the financial statements of

Presented on the next page are the financial statements of Weller Company.

WELLER COMPANY Comparative Balance Sheets December 31 2010 2009 Assets $ 35,000 $ 20,000 14,000 Cash Accounts receivable

Additional data:
1. Dividends declared and paid were $25,000.
2. During the year equipment was sold for $8,500 cash. This equipment cost $18,000 originally and had a book value of $8,500 at the time of sale.
3. All depreciation expense, $14,500, is in the operating expenses.
4. All sales and purchases are on account.
Instructions
(a) Prepare a statement of cash flows using the indirect method.
(b) Compute free cashflow.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...