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1. Given the information that follows for The Tickled Pickle Corporation (TTP): a. The Cash Flow from Assets for year ended December 31, 2016
1. Given the information that follows for The Tickled Pickle Corporation (TTP): a. The Cash Flow from Assets for year ended December 31, 2016 is -$1300. Show the calculations necessary to arrive at that conclusion. Note: There are some accounting treatments that would handle notes payable differently in these calculations. However, since our textbook does the calculations using current liabilities, as listed on the staterbent, we will do the same. Note also that Bonds Payable are the only long term liabilities. b. Calculate the cash flows to stockholders and creditors for the year ended December 31, 2016. Show your work.. Balance Sheet Assets Cash Accounts receivable Inventory The Tickled Pickle, Inc. 12/31/15 and 12/31/16 ($000) Current assets Net plant and equipment Total assets Liabilities and Owners' Equity Account payable Accrued expenses Notes payable-current (9%) Current liabilities Bonds Payable Owners' equity Common stock Paid-in capital Retained eamings Numbers in thousand 12/31/15 12/31/16 2,388 2,931 5,219 6,363 6,800 7,906 $ 14,407 $ 17,200 24,981 28,425 $ 39,388 $ 45,625 12/31/15 12/31/16 3,813 4,631 1,894 2,188 2,725 9,544 12,550 4,375 10,082 8,250 4,125 5,719 13,687 Total owners' equity 23,531 Total liabilities & owners' equity $39,388 $ 45,625 4,125 5,719 11,212 21,056 Sales Cost of goods sold Gross profit The Tickled Pickle, Inc. 12/31/15 and 12/31/16 ($000) Operating expenses" Interest expense Net income before taxes Taxes (35%) Net income Includes deprec. expense of. www 2015 $ 16,875 $ 6,750 10, 125 5,075 1,010 4,040 2016 23,150 9,260 1,050 13,890 6,125 1,222 6,543 1,414 2,290 2,626 $ 4,253 1,385
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