1. prepare a statement of cash flows using the indirect method b) calculate free cash flow

Balance Sheet December 31 \begin{tabular}{|c|c|c|} \hlineAssets & 2024 & 2023 \\ \hline Cash & $48,640 & $25,600 \\ \hline Accounts receivable & 38,400 & 17,920 \\ \hline Inventory & 34,560 & 25,600 \\ \hline Equipment & 76,800 & 99,840 \\ \hline Accumulated depreciation-equipment & (37,120) & (30,720) \\ \hline Total assets & $161,280 & $138,240 \\ \hline \multicolumn{3}{|l|}{ Liabilities and Shareholders' Equity. } \\ \hline Accounts payable & $30,720 & $19,200 \\ \hline Income tax payable & 8,960 & 10,240 \\ \hline Notes payable & 34,560 & 42,240 \\ \hline Common shares & 23,040 & 17,920 \\ \hline Retained earnings & 64,000 & 48,640 \\ \hline Total liabilities and shareholders' equity & $161,280 & $138,240 \\ \hline \end{tabular} 1. Dividends declared and paid were $25,600. Crane reports under IFRS and does not report dividends as operating activities. 2. During the year, equipment was sold for $10,880 cash. This equipment cost $23,040 originally and had a carrying value of $10,880 at the time of sale. 3. All depreciation expense, $18,560, is included in the operating expenses. 4. All sales and purchases are on account