(a) What is the CF to Creditors for 2018? (b) What is the CF to Stockholders for 2018? (c) Verify that the Cash Flow Identity holds for 2018. (d) Briefly tell the 2018 Cash Flow Identity story for this entertainment company

Balance Sheet 2017 2018 Income Stmt. 2018

Assets Sales $19,800

Cash $11,310 $10,590 Cost of Goods Sold $10,500

Accts. Receivable $2,900 $2,300 SG&A Expenses $1,500

Inventory $440 $1,150 Marketing Expenses $1,100

Net Fixed Assets $6,360 $7,080 Depreciation Exp. $1,500

Liabilities Operating Income $5,200

Accounts Payable $11,020 $10,550 Interest Exp. $400

Taxes Payable $900 $960 Taxable Income $4,800

Longterm Notes $1,280 $980 Tax Expense* $960

Longterm Bonds $1,850 $2,730 Net Income $3,840

Owners Equity Dividend Exp. $4,100

Common Stock $5,000 $5,200

Retained Earnings $960 _ _ _ _ * the average tax rate is 20%