Question
In: Finance
The 2017 balance sheet of Kerber’s Tennis Shop, Inc., showed long-term debt of $2.7 million, and...
The 2017 balance sheet of Kerber’s Tennis Shop, Inc., showed long-term debt of $2.7 million, and the 2018 balance sheet showed long-term debt of $2.9 million. The 2018 income statement showed an interest expense of $95,000.
What was the firm’s cash flow to creditors during 2018?
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Expert Solution
Cash flow to creditors during 2018 =Interest Expense-(Long Term
Debt in 2018 -Long Term Debt in 2017)
=95000-(2900000-2700000)=-105000
jeff jeffy answered 2 years agoRelated Solutions
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