Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Graffiti Advertising, Inc., reported the following financial statements for the last two years. 2019 Income Statement 573,200 Sales 273,945 Costs of goods sold Selling &

image text in transcribed
image text in transcribed
Graffiti Advertising, Inc., reported the following financial statements for the last two years. 2019 Income Statement 573,200 Sales 273,945 Costs of goods sold Selling & administrative 124,717 Depreciation 54,560 EBIT $ 119,978 19,648 Interest 100,330 EBT Taxes 40,132 Net income $ 60,198 Dividends $ 11,200 Addition to retained. $ 48,998 earnings GRAFFITI ADVERTISING, INC. Balance Sheet as of December 31, 2018 Cash $13.480 Accounts payable Accounts receivable 18,978 Notes payable Inventory 13,810 Current liabilities. Current assets $ 46,268 Long-term debt Net fixed assets $344,906 Owners' equity Total liabilities Total assets $ 391,174 and owners' equity $ $9,488 14,492 23,980 135,520 231,674 $ $ $ $391,174 GRAFFITI ADVERTISING, INC. Balance Sheet as of December 31, 2019 $ 14,466 Accounts payable Notes payable Cash Accounts receivable $ 10,528 21,083 16,482 Inventory 22,770 Current liabilities $ 27,010 153,600 Current assets $ 58,319 Long-term debt $ 284,004 Net fixed assets $406,295 Owners' equity 464,614 Total assets $ 464,614 Total liabilities and owners' equity $ a. Calculate the operating cash flow. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) ces b. Calculate the change in net working capital. (Do not round intermediate calculation and round your answer to the nearest whole number, e.g., 32.) c. Calculate the net capital spending. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) d. Calculate the cash flow from assets. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) e. Calculate the cash flow to creditors. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) f. Calculate the cash flow to stockholders. (A negative answer should be indicated b minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) a. Operating cash flow b. Change in net working capital C. Net capital spending d. Cash flow from assets e. Cash flow to creditors f. Cash flow to stockholders

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Emotions In Finance Booms Busts And Uncertainty

Authors: Jocelyn Pixley

2nd Edition

1107633370, 978-1107633377

More Books

Students also viewed these Finance questions

Question

10. Describe the relationship between communication and power.

Answered: 1 week ago