Given the information for Schism, Inc., in Problems 11 and 12, suppose you also know that the

Question:

Given the information for Schism, Inc., in Problems 11 and 12, suppose you also know that the firm’s net capital spending for 2010 was $910,000, and that the firm reduced its net working capital investment by $120,000. What was the firm’s 2010 operating cash flow, or OCF?

Data From Problem 12

The December 31, 2009, balance sheet of Schism, Inc., showed $135,000 in the common stock account and $2.6 million in the additional paid-in surplus account. The December 31, 2010, balance sheet showed $145,000 and $2.9 million in the same two accounts, respectively. If the company paid out $140,000 in cash dividends during 2010.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...