pleas answer just direct method and explain

Assets Cash Accounts receivable Inventory Equipment Accumulated depreciation- equipment ROCASTLE COMPANY Comparative Balance Sheets December 31 2017 $ 18,000 We 25,000 45.000 $ 70,000 2016 $ 33,000 14,000 25,000 $ 78,000 (27,000) (24,000) 43,000 $131,000 54,000 $126,000 Total $ 43,000 il Liabilities and Stockholders' Equity Accounts payable U Income taxes payable Bonds payable Common stock Retained earnings Total us $ 31,000 24,000 20,000 25,000 31,000 $131,000 20,000 10,000 25,000 28,000 $126,000 ROCASTLE COMPANY Income Statement For the Year Ended December 31, 2017 Sales revenue $286,000 Cost of goods sold 204,000 Gross profit 82,000 Operating expenses 37,000 Income from operations 45,000 Interest expense 7,000 Income before income taxes 38,000 Income tax expense 10,000 Net income $ 28,000 *P17.8A (10 3,4) Financial Statement Data for Nosker Company are presented in P17.7A. Further analysis teveals the following. 1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash. Instructions a. Prepare a statement of cash flows for Nosker Company using the direct method. b. Compute free cash flow. A n