Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Graffiti Advertising, Incorporated, reported the following financial statements for the last two years. a . Calculate the operating cash flow. Note: Do not round intermediate

Graffiti Advertising, Incorporated, reported the following financial statements for the last two years.
a. Calculate the operating cash flow.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
b. Calculate the change in net working capital.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
c. Calculate the net capital spending.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
d. Calculate the cash flow from assets.
Note: 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.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
f. Calculate the cash flow to stockholders.
Note: 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.Graffiti Advertising, Incorporated, reported the following financial statements for the last two years.
2022 Income Statement
Sales $ 568,700
Costs of goods sold 273,990
Selling & administrative 124,726
Depreciation 54,569
EBIT $ 115,415
Interest 19,450
EBT $ 95,965
Taxes 38,386
Net income $ 57,579
Dividends $ 10,300
Addition to retained earnings 47,279
GRAFFITI ADVERTISING, INCORPORATED
Balance Sheet as of December 31,2021
Cash $ 13,390 Accounts payable $ 9,497
Accounts receivable 18,987 Notes payable 14,501
Inventory 13,801 Current liabilities $ 23,998
Current assets $ 46,178 Long-term debt $ 136,240
Net fixed assets $ 344,636 Owners' equity $ 230,576
Total assets $ 390,814 Total liabilities and owners equity $ 390,814
GRAFFITI ADVERTISING, INCORPORATED
Balance Sheet as of December 31,2022
Cash $ 14,376 Accounts payable $ 10,519
Accounts receivable 21,092 Notes payable 16,473
Inventory 22,761 Current liabilities $ 26,992
Current assets $ 58,229 Long-term debt $ 152,700
Net fixed assets $ 406,304 Owners' equity $ 284,841
Total assets $ 464,533 Total liabilities and owners equity $ 464,533
Calculate the operating cash flow.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
Calculate the change in net working capital.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
Calculate the net capital spending.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
Calculate the cash flow from assets.
Note: 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.
Calculate the cash flow to creditors.
Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g.,32.
Calculate the cash flow to stockholders.
Note: 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.
image text in transcribed

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

International Financial Management

Authors: Cheol Eun, Bruce Resnick

5thEdition

0073382345, 9780073382340

More Books

Students also viewed these Finance questions

Question

Where do your students find employment?

Answered: 1 week ago

Question

2.1 Explain how employment-related issues are governed in Canada.

Answered: 1 week ago

Question

2.3 Describe the requirements for reasonable accommodation.

Answered: 1 week ago