Additional data:

1.		Depreciation expense was $56,000.
2.		Dividends declared and paid were $64,000.
3.		During the year equipment was sold for $27,200 cash. This equipment cost $57,600 originally and had accumulated depreciation of $30,400 at the time of sale.

Novak Company Comparative Balance Sheets December 31 Assets 2022 Cash $ 112,000 Accounts receivable 64,000 Inventory 89,600 Property, plant, and equipment 192,000 Accumulated depreciation (102,400) Total $355,200 2021 $ 64,000 44,800 64,000 249,600 (76,800) $345,600 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $ 60,800 22,400 54,400 57,600 160,000 $355,200 $ 48,000 25,600 105,600 44,800 121,600 $345,600 $774,400 560,000 214,400 Novak Company Income Statement For the Year Ended December 31, 2022 Sales revenue Cost of goods sold Gross profit Selling expenses $57,600 Administrative expenses 19,200 Income from operations Interest expense Income before income taxes Income tax expense Net income 76,800 137,600 9,600 128,000 25,600 $ 102,400 Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. - Novak Company Statement of Cash Flows Adjustments to reconcile net income to LINK TO TEXT Compute free cash flow. (Show a negative free cash flow with either a - sign e.g.-15,000 or in parenthesis e.g. (15,000).) Free cash flow