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A company has following figures for year 2019: Earnings Before Interest, Taxes and Depreciation (EBITD) is 5,000, depreciation expense is 1,500, and interest expense

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A company has following figures for year 2019: Earnings Before Interest, Taxes and Depreciation (EBITD) is 5,000, depreciation expense is 1,500, and interest expense is 500. Corporate tax rate is 40 percent. The company decided to pay 50 percent of net income as dividends to its shareholders. Moreover, the company's balance sheet is given below: Cash Trade receivables Inventory Gross long-term assets Accumulated depreciation Net long-term assets Total assets Balance Sheets (in ) 2019 800 1,500 3,300 2018 700 1,600 3,700 ? 22,000 18,000 24,000 1. Answer the following questions ? ? 17,000 22,600 Trade payables Notes payable Long-term debt Common Stock Retained earnings Total liab. & equity a. Calculate missing values in 2018 and 2019. b. Calculate shareholders' equity in 2018 and 2019. c. Calculate current assets and current liabilities in 2018 and 2019. 2018 1,700 2,500 10,000 7,500 ? ? d. Calculate change in net working capital (NWC) from 2018 to 2019. e. Calculate cash flows from operating activities including the change in NWC. 2019 900 500 11,000 7,000 ? ?

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