Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Calculate Salamanca's GAAP cash flow, free cash flow and reconcile the two numbers Salamanca, Inc Income Statement 2019 Revenue 230,000 Cost of Revenue 111,000 Gross

Calculate Salamanca's GAAP cash flow, free cash flow and reconcile the two numbers

image text in transcribed
Salamanca, Inc Income Statement 2019 Revenue 230,000 Cost of Revenue 111,000 Gross Profit 119,000 R &D 12,000 Sales & Marketing 40,000 G&A 12,000 Depreciation 5,000 Stock Based Compensation Expense 2,000 Total Operating Expenses 71,000 EBIT 48,000 Interest Expense 8,000 EBT 40,000 Taxes ,000 Net Income 34,000 Salamanca, Inc. Salamanca, Inc. Balance Sheet Balance Sheet 2018 2019 2018 2019 Cash 3,000 22,000 Accounts payable 10,000 12,000 Short-term marketable securities 5,000 6,000 Accrued Expenses 5,000 6,000 Accounts receivable 22,000 25,000 Notes payable 8,000 7,000 Inventory 11,000 8,000 Interest Payable 1,000 2,000 Prepaid insurance 4,000 6,000 Deferred revenue 23,000 30,000 Prepaid software licenses 3,000 2,000 Total current liabilities 47,000 $7,000 Total current assets 53,000 69,000 5000 7,000 Deferred revenue 9,000 8,000 Net plant and equipment 29,000 36,000 Long-term debt 15,000 24,000 Long-term marketable securities 3,000 9,000 Total Liabilities 71,000 39,000 Prepaid software licenses 2,00 1,000 Total noncurrent assets 34,000 46,000 Common Stock & APIC 9,000 11,000 Total Assets 87,000 115,000 Treasury stock (16,000) (27,000) Retained earnings 23,000 42,000 Total Equity 16,000 26,000 Total Liabilities & equity 87,000 115,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Income Tax Fundamentals 2013

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

31st Edition

1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516

Students also viewed these Accounting questions

Question

2. Are they aware of the assumptions they are making?

Answered: 1 week ago