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2018 2017 CLANCY'S DOG BISCUIT CORPORATION Balance sheet as of December 31, 2018 and 2017 (in millions of dollars) 2018 2017 Liabilities and Equity Current

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2018 2017 CLANCY'S DOG BISCUIT CORPORATION Balance sheet as of December 31, 2018 and 2017 (in millions of dollars) 2018 2017 Liabilities and Equity Current liabilities: $ 8 Accrued wages and taxes 38 30 Accounts payable 35 Notes payable $ 87 $ 73 Total Long-term debt $111 $ 90 Stockholders' equity! 31 25 Preferred stock (2 million shares) $ 80 $ 65 Common stock and paid-in-surplus (5 million shares) 28 28 Retained earnings $100 $ 93 Total $195 $166 Total liabilities and equity $ 13 27 25 $ 65 $ 48 $ 7 25 23 $ 55 Assets Current assetsi Cash and marketable securities Accounts receivable Inventory Total Pixed assets: Gross plant and equipment Less: Accumulated depreciation Net plant and equipment Other long-term assets Total Total assets ok nit $ 2 11 69 $ 82 $195 $ 2 11 SS $ 68 $166 onces A AANA AAN B. ok nt ances CLANCY'S DOG BISCUIT CORPORATION Income Statement for Years Ending December 31, 2018 and 2017 (in millions of dollars) 2018 2017 Net sales $ 108 $ 112 Less: Cost of goods sold 54 50 Gross profits $ 54 $ 62 Less: Other operating expenses 8 Earnings before interest, taxes depreciation, and amortization (EBITDA) $ 46 55 Less: Accumulated depreciation 6 6 Earnings before interest and taxes (EBIT) 40 49 Less: Interest 6 6 Earnings before taxes (EBT) $ 34 $ 43 Less: Taxes 16 19 Net income $ 18 $ 24 Less: Preferred stock dividends $ 1 $ 1 Net income available to common stockholders $ 17 $ 23 Less: Common stock dividends 3 3 Addition to retained earnings $ 14 s 20 Per (common) share data: Earnings per share (EPS) $ 3.40 $ 4.60 Dividends per share (DPS) $ 0.60 $ 0.60 Book value per share (BVPS) $16.00 13.20 Market value (price) per share (MVPS) $16.65 $16.60 2 Prepare a statement of cash flows for Clancy's Dog Biscuit Corporation (Enter your answers in millions of dollars. Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows for Year Ending December 31, 2018 (in millions of dollars) Cash flows from operating activities Additions (sources of cash) Subtractions (uses of cash): Net cash flow from operating activities Cash flows from investing activities Subtractions: Net cash flow from investing activities Cash flows from financing activities Additions: Subtractions Net cash flow from investing activities Cash flows from financing activities Additions: Subtractions: Net cash flow from financing activities Net change in cash and marketable securities

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