Exercise $13-6($Static$)$ Prepare a Statement of Cash Flows; Free Cash Flow $[$LO$13-1,$ LO$13-2,$ LO$13-3]$

Comparative financial statement data for Carmono Company follow:

For this year, the company reported net income as follows:

This year Carmono declared and paid a cash dividend. There were no sales of property, plant, and equipment during this year. The

company did not repurchase any of its own stock this year.

Required:

Using the indirect method, prepare a statement of cash flows for this year.

Compute Carmono's free cash flow for this year.