Question
Consider the following abbreviated financial statements for Parrothead Enterprises: PARROTHEAD ENTERPRISES 2014 and 2015 Partial Balance Sheets Assets Liabilities and Owners Equity 2014 2015 2014
Consider the following abbreviated financial statements for Parrothead Enterprises: |
PARROTHEAD ENTERPRISES 2014 and 2015 Partial Balance Sheets | ||||||||||||||
Assets | Liabilities and Owners Equity | |||||||||||||
2014 | 2015 | 2014 | 2015 | |||||||||||
Current assets | $ | 946 | $ | 1,008 | Current liabilities | $ | 385 | $ | 404 | |||||
Net fixed assets | 3,907 | 4,600 | Long-term debt | 2,029 | 2,197 | |||||||||
PARROTHEAD ENTERPRISES 2015 Income Statement | ||
Sales | $ | 12,340 |
Costs | 5,920 | |
Depreciation | 1,050 | |
Interest paid | 190 | |
a. | What is owners' equity for 2014 and 2015? (Do not round intermediate calculations.) |
Owners' equity 2014 | $ |
Owners' equity 2015 | $ |
b. | What is the change in net working capital for 2015? (Do not round intermediate calculations.) |
Change in NWC | $ |
c-1 | In 2015, Parrothead Enterprises purchased $1,875 in new fixed assets. How much in fixed assets did Parrothead Enterprises sell? (Do not round intermediate calculations.) |
Fixed assets sold | $ |
c-2 | In 2015, Parrothead Enterprises purchased $1,875 in new fixed assets. What is the cash flow from assets for the year? (The tax rate is 35 percent.) (Do not round intermediate calculations.) |
Cash flow from assets | $ |
d-1 | During 2015, Parrothead Enterprises raised $420 in new long-term debt. How much long-term debt must Parrothead Enterprises have paid off during the year? (Do not round intermediate calculations.) |
Debt retired | $ |
d-2 | During 2015, Parrothead Enterprises raised $420 in new long-term debt. What is the cash flow to creditors? (Do not round intermediate calculations.) |
Cash flow to creditors | $ |
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