Question
The 2008 balance sheet of Maria's Tennis Shop, Inc., showed $2.7 million in long-term debt, $760,000 in the common stock account, and $6.35 million in
The 2008 balance sheet of Maria's Tennis Shop, Inc., showed $2.7 million in long-term debt, $760,000 in the common stock account, and $6.35 million in the additional paid-in surplus account. The 2009 balance sheet showed $3.35 million, $925,000, and $7.85 million in the same three accounts, respectively. The 2009 income statement showed an interest expense of $360,000. The company paid out $580,000 in cash dividends during 2009. If the firm's net capital spending for 2009 was $840,000, and the firm reduced its net working capital investment by $165,000, the firm's 2009 operating cash flow, or OCF?
$1,705,000
$-1,860,000
$-1,375,000
$-700,000
$-3,210,000
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