Concept Questions and Exercises Exercises I. Building a Balance Sh CORPORATE FINANCE 11e by Ross, Westerfield, Jafle eet Sankey, Inc., has current assets of s4,900, net fixed assets of $25.000. f the shareholders current liabilities of $4,100, and long-term debt of $10.300. What is the value o equity account for this firm? How much is networkincapital? Building an Income Statement Shelton, Inc., has sales of $435,000, costs of $216.000, depreciation expense of $40.000, interest expense of S21,000, and a tax rate of 35 percent. What is the net income for the firm? Suppose the company paid out $30.000 in cash dividends. What is the addition to retained earnings? 3. Market Values and Book Values Klingon Cruisers, Inc., purchased new cloaking machinery three years ago for $9.5 million. The machinery can be sold to the Romulans today for $6.5 million. Klingon's current balance sheet shows net fixed assets of $5.2 million, current liabilities of $2.4 nillion, and net working capital of $800,000. If all the current assets were liquidated today, the ihat is the honk value of Klingon's assets today? Wh l