Ramakrishnan, Inc. reported 2018 net income of $15 million and depreciation of $3,500,000. The top part...

Ramakrishnan, Inc. reported 2018 net income of $15 million and depreciation of $3,500,000. The top part of Ramakrishnan, Inc.’s 2018 and 2017 balance sheets is listed below (in millions of dollars).

	2018		2017			2018		2017
Current assets:					Current liabilities:
Cash and marketable securities	$	20	$	27	Accrued wages and taxes	$	45	$	36
Accounts receivable		95		93	Accounts payable		73		65
Inventory		175		146	Notes payable		65		60
Total	$	290	$	266	Total	$	183	$	161

Calculate the 2018 net cash flow from operating activities for Ramakrishnan, Inc. (Enter your answer in dollars not in millions.)

Expert Solution

Net cash flow from operating activities $ 9,500,000

Cash flow from operating activities

Net Income			1,50,00,000
Adjsutment of non-cash items:
Depreciation			35,00,000
Adjsutment of working capital:
Increase of accounts receivable	-20,00,000
Increase of inventory		-2,90,00,000
Increase of Accrued wages and taxes	90,00,000
Increase of Accounts payable		80,00,000
Increase of Notes payable		50,00,000


Net Cash provided by operating activities	95,00,000

jeff jeffy answered 2 years ago

Ramakrishnan, Inc., reported 2021 net income of $45 million and depreciation of $2,950,000. The top part...

Ramakrishnan, Inc., reported 2021 net income of $45 million and depreciation of $2,950,000. The top part of Ramakrishnan, Inc.’s, 2021 and 2020 balance sheets is reproduced below (in millions of dollars): 2021 2020 2021 2020 Current assets: Current liabilities: Cash and marketable securities $ 50 $ 17 Accrued wages and taxes $ 31 $ 26 Accounts receivable 85 83 Accounts payable 95 90 Inventory 173 126 Notes payable 90 85 Total $ 308 $ 226 Total $ 216 $ 201...

The MBA 802 Company reported 2018 net income of $9 million and depreciation of $3.5 million....

The MBA 802 Company reported 2018 net income of $9 million and depreciation of $3.5 million. The top part of the MBA802’s 2017 and 2018 balance sheets is listed as follows (in millions of dollars). 2017 2018 Current assets: Cash $18 $30 Accounts receivable 20 24 Inventory 10 11 Total Current Assets: $48 $65 Current Liabilities: Accrued wages and taxes $ 5 $11 Accounts payable 25 29 Other Accrued Liabilities 18 25 Total Current Liabilities: $48 $65 What is the 2018 net cash flow from operating activities for the MBA802 Company?...

Byron Books Inc. recently reported $15 million of net income. Its EBIT was $33 million, and...

Byron Books Inc. recently reported $15 million of net income. Its EBIT was $33 million, and its tax rate was 40%. What was its interest expense? [Hint: Write out the headings for an income statement, and then fill in the known values. Then divide $15 million of net income by (1 - T) = 0.6 to find the pretax income. The difference between EBIT and taxable income must be interest expense. Use this same procedure to complete similar problems.] Write...

Statement of Cash Flows Ann's Flowers Inc. reported 2008 net income of $2.80 million and depreciation...

Statement of Cash Flows Ann's Flowers Inc. reported 2008 net income of $2.80 million and depreciation of $268,000. The top part Ann's Flowers, Inc.'s 2007 and 2008 balance sheets is listed below (in millions of dollars). Current assets: 2007 2008 Current liabilities: 2007 2008 Cash and marketable securities $4.80 $2.90 Accrued wages and taxes $1.18 $1.18 Accounts receivable 4.90 6.80 Accounts payable 3.18 4.90 Inventory 7.80 5.90 Notes payable 13.14 9.52 Total $17.50 $15.60 Total $17.50 $15.60 What is the...

Statement of Cash Flows Ann's Flowers Inc. reported 2008 net income of $1.90 million and depreciation...

Statement of Cash Flows Ann's Flowers Inc. reported 2008 net income of $1.90 million and depreciation of $259,000. The top part Ann's Flowers, Inc.'s 2007 and 2008 balance sheets is listed below (in millions of dollars). Current assets: 2007 2008 Current liabilities: 2007 2008 Cash and marketable securities $3.90 $2.45 Accrued wages and taxes $1.09 $1.09 Accounts receivable 4.45 5.90 Accounts payable 3.09 4.45 Inventory 6.90 5.45 Notes payable 11.07 8.26 Total $15.25 $13.80 Total $15.25 $13.80 What is the...

1. Kendall Corners Inc. recently reported net income of $3.9 million and depreciation of $585,000. What...

1. Kendall Corners Inc. recently reported net income of $3.9 million and depreciation of $585,000. What was its net cash flow? Assume it had no amortization expense. Enter your answer in dollars. For example, an answer of $1.2 million should be entered as 1,200,000. 2. In its most recent financial statements, Del-Castillo Inc. reported $30 million of net income and $910 million of retained earnings. The previous retained earnings were $904 million. How much in dividends did the firm pay...

Becker Inc. reported net income of $560,000 on its income statement for 2020. Depreciation expense for...

Becker Inc. reported net income of $560,000 on its income statement for 2020. Depreciation expense for the year was $63,000. Over the course of the year, Becker also experienced the following changes in account balances: Accounts payable: $12,000 increase Inventory: $18,000 increase Accounts receivable: $9,000 decrease Accrued liabilities: $19,000 decrease Prepaid insurance: $7,000 decrease Determine net cash provided by operating activities for 2020.

Jaime Corporation reported net income of $60 million for last year. Depreciation expense totaled $20 million...

Jaime Corporation reported net income of $60 million for last year. Depreciation expense totaled $20 million and capital expenditures came to $5 million. Free cash flow is expected to grow at a rate of 6% for the foreseeable future. Lambert faces a 30 % tax rate and has a 0.40 debt to equity ratio with $200 million (market value) in debt outstanding. Lambert's equity beta is 1.20, the risk free rate is currently 4% and the market risk premium is...

1 Vasudevan Inc. recently reported operating income of $2.75 million, depreciation of $1.20 million, and had...

1 Vasudevan Inc. recently reported operating income of $2.75 million, depreciation of $1.20 million, and had a tax rate of 40%. The firm's expenditures on fixed assets and net operating working capital totaled $0.6 million. How much was its free cash flow, in millions? a. $2.25 b. $2.03 c. $1.93 d. $2.14 e. $2.36 2. AT&T would like to improve their ROE to 15%. They think they can maintain profit margin of 11% while maintaining their total asset turnover at...

Bob's, Inc. reported net income of $658,000 and depreciation expense of $57,500 in 20X2. Bob's also...

Bob's, Inc. reported net income of $658,000 and depreciation expense of $57,500 in 20X2. Bob's also reported income of $625,000 and depreciation expense of $67,500 in 20X1. The current portion of the balance sheets are reproduced below: 20X2 20X1 20X2 20X1 Current Assets Current Liabilities Cash and marketable securities 1,000 900 Line of credit 0 1,000 Accounts Receivable 1,500 1,600 Accounts Payable 2,200 2,350 Inventory 4,552 4,337 Accrued expenses 1,505 1,605 Prepaid expenses 110 115 Calculate the 20X2...

Question