Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Intro Below is the balance sheet for Blue Sky Blunders as of Dec. 31, 2022 and 2023. The company had an EBIT of $78,000

image text in transcribed

Intro Below is the balance sheet for Blue Sky Blunders as of Dec. 31, 2022 and 2023. The company had an EBIT of $78,000 and depreciation of $12,000 in 2023, and a tax rate of 35%. Assets 2022 2023 Liabilities & Equity 2022 2023 Cash 8,000 9,600 Accounts payable 17,000 18,700 Market. securities 2,000 2,200 Notes payable 6,000 6,000 Accounts receivable 3,000 2,700 Current liabilities 23,000 24,700 Inventory 43,000 34,400 Long-term debt 95,000 80,000 Current assets 56,000 48,900 Total liabilities 118,000 104,700 Machines 34,000 40,800 Paid-in capital 20,000 20,000 Real estate 80,000 80,000 Retained earnings 32,000 45,000 Net fixed assets Total assets 114,000 120,800 Total equity 170,000 169,700 Liab. & equity 52,000 65,000 170,000 169,700 Part 1 What was the net operating profit after taxes for 2023? 0+ decimals Submit Attempt 1/10 for 10 pts. Part 2 Attempt 1/10 for 10 pts. What was the company's net operating working capital (NOWC) at the end of 2022? 0+ decimals Submit Part 3 Attempt 1/10 for 10 pts. What was the company's total net operating capital at the end of 2022? 0+ decimals Submit Part 4 Attempt 1/10 for 10 pts. What was the company's net operating working capital (NOWC) at the end of 2023?

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

Principles Of Managerial Finance

Authors: Lawrence J. Gitman, Chad J. Zutter

13th Edition

9780132738729, 136119468, 132738724, 978-0136119463

More Books

Students also viewed these Finance questions

Question

List six habits that can help you become a more positive thinker.

Answered: 1 week ago

Question

Define deferred revenue. Why is it a liability?

Answered: 1 week ago

Question

Why is it said that much of culture is invisible?

Answered: 1 week ago