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1 Income statement data (in thousands): 2 Net earnings (loss) $43,993.00 3 Losses on inventory write-down and fixed assets 7.00 4 Depreciation expense 10,174.00 5

1

Income statement data (in thousands):

2

Net earnings (loss)

$43,993.00

3

Losses on inventory write-down and fixed assets

7.00

4

Depreciation expense

10,174.00

5

Stock-based compensation expense (noncash)

290.00

6

Balance sheet data (in thousands):

7

Increase in accounts receivable

5,679.00

8

Increase in inventory

7,509.00

9

Decrease in prepaid expenses

2,239.00

10

Decrease in accounts payable and other current liabilities

1,341.00

b. Interpret your results in part (a).

The company has____________ earnings and ___________net cash flow from operating activities. The increase in accounts receivable indicates a(n)_________ in sales. In addition, the company is using its cash to decrease its accounts payable balance, which indicates that the company is_____________________________ . Overall, National Beverage is doing _______________ financially.

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