Question
The 2017 balance sheet of Kerbers Tennis Shop, Inc., showed $2.25 million in long-term debt, $730,000 in the common stock account, and $5.9 million in
The 2017 balance sheet of Kerbers Tennis Shop, Inc., showed $2.25 million in long-term debt, $730,000 in the common stock account, and $5.9 million in the additional paid-in surplus account. The 2018 balance sheet showed $4.2 million, $965,000, and $8.5 million in the same three accounts, respectively. The 2018 income statement showed an interest expense of $240,000. The company paid out $570,000 in cash dividends during 2018. If the firm's net capital spending for 2018 was $770,000, and the firm reduced its net working capital investment by $205,000, what was the firm's 2018 operating cash flow, or OCF? |
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