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Consider the following potential events that might have taken place at Global Conglomerate on December 30, 2015. For each one, indicate which line items in

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Consider the following potential events that might have taken place at Global Conglomerate on December 30, 2015. For each one, indicate which line items in Global's balance sheet would be affected and by how much. Also in ignore any tax consequences for simplicity.) 1. dicate the change to Global's book value of equity. (In all cases, Global used S20 million of its available cash to repay S20 million of its long-term debt. a. b. c. Global used S5 million in cash and S5 million in new long-term debt to purchase a S10 million d. A large customer owing S3 million for products it already received declared bankruptcy, leaving e. Global's engineers discover a new manufacturing process that will cut the cost of its flagship f. A key competitor announces a radical new pricing policy that will drastically undercut Global's A warehouse fire destroyed S5 million worth of uninsured inventory. building. no possibility that Global would ever receive payment. product by over 50%. prices

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