Consider the following abbreviated financial statements for Weston Enterprises: WESTON ENTERPRISES 2018 Statement of Comprehensive Income Sales
Question:
Consider the following abbreviated financial statements for Weston Enterprises:
WESTON ENTERPRISES
2018 Statement of
Comprehensive Income
Sales .....................$12,380
Costs....................... 5,776
Depreciation .........1,150
Interest paid ...........314
a. What is the shareholders’ equity for 2017 and 2018?
b. What is the change in net working capital for 2018?
c. In 2018, Weston Enterprises purchased $2,160 in new fixed assets. How much in fixed assets did Weston Enterprises sell? What is the cash flow from assets for the year? (The tax rate is 40 percent.)
d. During 2018, Weston Enterprises raised $432 in new long-term debt. How much longterm debt must Weston Enterprises have paid off during the year? What is the cash flow to creditors?
Step by Step Answer:
Corporate Finance
ISBN: 9781259270116
8th Canadian Edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Gordon Roberts, Hamdi Driss