Question

The company paid interest expense of

$18,000

for

2017

and had an overall tax rate of

40%

for

2017.

Find the cash flow from assets for

2017​,

and break it into its three​ parts: operating cash​ flow, capital​ spending, and change in net working capital.

Sales_revenue 350,000
Cost_of_goods_sold 140,000
Fixed_costs 43,000
Selling,_general,_and_administrative_expenses 28,000
Depreciation 46,000

2016

ASSETS       LIABILITIES  
Cash   16,000   Notes payable   14,000
Accounts receivable   28,000   Accounts payable   19,000
Inventories   48,000   Long-term debt   190,000
Fixed assets   368,000   OWNERS' EQUITY  
Accumulated depreciation   142,000   Retained earnings  
Intangible assets   82,000   Common stock   130,000

2017

ASSETS       LIABILITIES  
Cash   16,000   Notes payable   14,000
Accounts receivable   28,000   Accounts payable   19,000
Inventories   48,000   Long-term debt   190,000
Fixed assets   368,000   OWNERS' EQUITY  
Accumulated depreciation   142,000   Retained earnings  
Intangible assets   82,000   Common stock   130,000

The operating cash flow is

​(Round to the nearest​ dollar.)

The capital spending is

​(Round to the nearest​ dollar.)

The change in net working capital is

​(Round to the nearest​ dollar.)

The cash flow from assets is

​(Round to the nearest​ dollar.)

Answer 1

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