Question
I need major help. I just tried using this site to help understand what I am doing wrong on a problem ina book that is
I need major help. I just tried using this site to help understand what I am doing wrong on a problem ina book that is not registered on Chegg. I would love to hear from you guys why I am screwing this up. I need Cash flows of the Tomkovick Golf Company, who DID NOT pay dividends (or at least I thought they didn't. How can you tell if a company has paid dividends or not?). I need help just figuring out the financing, investing, and operating activities. I'm not getting what I should get..
Cash flows: Analysts following the Tomkovick Golf Company were given the following balance sheet information for the years ended June 30, 2014 and June 30 2013:
2014 | 2013 | |
Assets | ||
Cash and marketable securities | $ 33,411 | $ 16,566 |
Accounts receivable | 260,205 | 318,768 |
Inventory | 423,819 | 352,740 |
Other current assets | 41,251 | 29,912 |
Total current assets | $ 758,686 | $ 717,986 |
Plant and equipment | 1,931,719 | 1,609,898 |
Less: Accumulated depreciation | (419,044) | (206,678) |
Net plant and equipment | $1,512,675 | $1,403,220 |
Goodwill and other assets | 382,145 | 412,565 |
Total assets | $2,653,506 | $2,533,771 |
Liabilities and Equity | 2014 | 2013 |
Accounts payable and accruals | $ 378,236 | $ 332,004 |
Notes payable | 14,487 | 7,862 |
Accrued income taxes | 21,125 | 16,815 |
Total current liabilities | $ 413,848 | $ 356,681 |
Long-term debt | 679,981 | 793,515 |
Total liabilities | $1,093,829 | $1,150,196 |
Preferred stock | __ | __ |
Common stock (10,000 shares) | 10,000 | 10,000 |
Additional paid-in capital | 975,465 | 975,465 |
Retained earnings | 587,546 | 398,110 |
Less: Treasury stock | (13,334) | __ |
Total common equity | $1,559,677 | $1,383,575 |
Total liabilities and equity | $2,653,506 | $2,533,771 |
In addition, it was reported that the company had a net income of $ 3,155,848 and that depreciation expenses were equal to $212,366 during 2014. Assume amortization expense was $0 in 2014.
a. Construct a 2014 cash flow statement for this firm.
b. Calculate the net cash provided by operating activities for the statement of cash flows.
c. What is the net cash used in investing activities?
d. Compute the net cash provided by financing activities.
I also do not understand what the effect of exchanges rates on cash is. I wouldn'tknow where to begin on calculating that.
Thanks for the help
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