1. KCCO, Inc., has current assets of $5,300, net fixed assets of $24,900, current liabilities of $4,600, and long-term debt of $10,300. What is the value of the shareholders equity account for this firm? How much is net working capital?

2. Billys Exterminators, Inc., has sales of $817,000, costs of $343,000, depreciation expense of $51,000, interest expense of $38,000, and tax rate of 35 percent. What is the net income for this firm?

3. Suppose the firm in Problem 2 paid out $95,000 in cash dividends. What is the addition to retained earnings?

4. Suppose the firm in Problem 3 had 90,000 shares of common stock outstanding. What is the earnings per share, or EPS, figure? What is the dividends per share figure?

5. The Dyrdek Co. had $267,000 in 2014 taxable income. Using the rates from Table 2.3 in the chapter, calculate the companys 2014 income taxes.

6. Bowyer Driving Schools 2014 balance sheet showed net fixed assets of $2.7 million, and the 2015 balance sheet showed net fixed assets of $3.5 million. The companys 2015 income statement showed a depreciation expense of $328,000. What was net capital spending for 2015?

7. The 2014 balance sheet of Steelo, Inc., showed current assets of $4,630 and current liabilities of $2,190. The 2015 balance sheet showed current assets of $5,180 and current liabilities of $2,830. What was the companys 2015 change in net working capital, or NWC?

8. The 2014 balance sheet of Suparpovas Tennis Shop, Inc., showed long-term debt of $1.95 million, and the 2015 balance sheet showed long-term debt of $2.28 million. The 2015 income statement showed and interest expense of $235,000. What was the firms cash flow to creditors during 2015?

9. The 2014 balance sheet of Sugarpovas Tennis Shop, Inc., showed $670,000 in the common stock account and $4.1 million in the additional paid-in surplus account. The 2015 balance sheet showed $825,000 and $4.4 million in the same two accounts, respectively. If the company paid out $565,000 in cash dividends during 2015, what was the cash flow to stockholders for the year?

10. Given the information for Sugarpovas Tennis Shop, Inc., in Problems 8 and 9, suppose you also know that the firms net capital spending for 2015 was $1250,000 and that the firm reduced its net working capital investment by $45,000. What was the firms 2015 operating cash flow, or OCF?

11. Volbeat Corp. shows the following information on its 2015 income statement: sales = $267,000; costs = $148,000; other expenses = $8,200; depreciation expense = $17,600; interest expense = $12,400; taxes = $32,620; dividends = $15,500. In addition, youre told that the firm issued $6,400 in new equity during 2015 and redeemed $4,900 in outstanding long-term debt.a.What is the 2015 operating cash flow?b. What is the 2015 cash flow to creditors?c.What is the 2015 cash flow to stockholders?d. If net fixed assets increased by $25,000 during the year, what was the addition to NWC?

12. Prepare a 2015 balance sheet for Cornell Corp. based on the following information: cash = $134,000; patents and copyrights = $670,000; account payable = $210,000; accounts receivable = $105,000; tangible net fixed assets = $1730,000; inventory = $293,000; notes payable = $160,000; accumulated retained earnings = $1453,000; long-term debt = $845,000.net working capital investment by $45,000. What was the firms 2015 operating cash flow, or OCF?11. Volbeat Corp. shows the following information on its 2015 income statement: sales = $267,000; costs = $148,000; other expenses = $8,200; depreciation expense = $17,600; interest expense = $12,400; taxes = $32,620; dividends = $15,500. In addition, youre told that the firm issued $6,400 in new equity during 2015 and redeemed $4,900 in outstanding long-term debt.a.What is the 2015 operating cash flow?b. What is the 2015 cash flow to creditors?c.What is the 2015 cash flow to stockholders?d. If net fixed assets increased by $25,000 during the year, what was the addition to NWC?

13. Prepare a 2015 balance sheet for Cornell Corp. based on the following information: cash = $134,000; patents and copyrights = $670,000; account payable = $21