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Clarmont Corporation Engaged in the Following Cash Transactions During 2012

Question 60

Essay

Clarmont Corporation engaged in the following cash transactions during 2012:
 Sale of land and building 209,000 Purchase of treasury stock 35,000 Purchase of land 38,000 Payment of cash dividend 105,000 Purchase of equipment 54,000 Issuance of common stock 150,000 Retirement of bonds 97,500\begin{array}{|l|r|}\hline\text { Sale of land and building } & 209,000 \\\hline \text { Purchase of treasury stock } & 35,000 \\\hline \text { Purchase of land } & 38,000 \\\hline \text { Payment of cash dividend } & 105,000 \\\hline \text { Purchase of equipment } & 54,000 \\\hline \text { Issuance of common stock } & 150,000 \\\hline \text { Retirement of bonds } & 97,500\\\hline\end{array}
Required:
What is Clarmont's free cash flow,assuming that it reported net cash provided by operating activities of $650,000?

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