Freeman, Inc., reported the following financial statements for the last two years. FREEMAN, INC. 2017 Income Statement Sales $ 565,380 Cost of goods sold 273,935
Freeman, Inc., reported the following financial statements for the last two years.
FREEMAN, INC. | |||
2017 Income Statement | |||
Sales | $ | 565,380 | |
Cost of goods sold | 273,935 | ||
Selling & administrative | 124,715 | ||
Depreciation | 54,558 | ||
EBIT | $ | 112,172 | |
Interest | 19,314 | ||
EBT | $ | 92,858 | |
Taxes | 48,286 | ||
Net income | $ | 44,572 | |
Dividends | $ | 11,400 | |
Addition to retained earnings | $ | 33,172 | |
FREEMAN, INC. Balance Sheet as of December 31, 2016 | |||||||
Cash | $ | 13,500 | Accounts payable | $ | 23,976 | ||
Accounts receivable | 18,976 | ||||||
Inventory | 13,812 | ||||||
Current assets | $ | 46,288 | Long-term debt | 135,000 | |||
Net fixed assets | 344,444 | Owners' equity | 231,756 | ||||
Total assets | $ | 390,732 | Total liabilities and owners' equity | $ | 390,732 | ||
FREEMAN, INC. Balance Sheet as of December 31, 2017 | |||||||
Cash | $ | 14,486 | Accounts payable | $ | 27,014 | ||
Accounts receivable | 21,081 | ||||||
Inventory | 22,772 | ||||||
Current assets | $ | 58,339 | Long-term debt | 153,800 | |||
Net fixed assets | 406,293 | Owners' equity | 283,818 | ||||
Total assets | $ | 464,632 | Total liabilities and owners' equity | $ | 464,632 | ||
Requirement 1:
Calculate the operating cash flow. (Do not round intermediate calculations.) Operating cash flow $ Requirement 2:
Calculate the change in net working capital. (Do not round intermediate calculations.) Change in net working capital $ Requirement 3:
Calculate the net capital spending. (Do not round intermediate calculations.) Net capital spending $ Requirement 4:
Calculate the cash flow from assets. (Do not round intermediate calculations. A negative answer should be indicated by a minus sign.) Cash flow from assets $ Requirement 5:
Calculate the cash flow to creditors. (Do not round intermediate calculations.) Cash flow to creditors $ Requirement 6:
Calculate the cash flow to stockholders. (Do not round intermediate calculations. A negative answer should be indicated by a minus sign.) Cash flow to stockholders $
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