Use the following financial statements to answer questions $13-18$:

Income Statement

$2023$

Sales $ $720,000$

Cost of Goods Sold $ $432,000$

R & D $ $72,000$

SG & A $ $108,000$

Depreciation $ $36,000$

Earnings Before Interest & Taxes $ $72,000$

Interest Expense $ $18,000$

Taxable Income $ $54,000$

Income Tax Expense $ $16,200$

Net Income $ $37,800$

Balance Sheet

$20232022$

Cash $ $125,000$ $ $110,000$

Accounts Receivable $ $58,000$ $ $50,000$

Inventory $ $72,000$ $ $65,000$

Fixed Assets $($Net$)$ $ $845,000$ $ $805,000$

Total Assets $ $1,100,000$ $ $1,030,000$

Accounts Payable $ $88,000$ $ $80,000$

Notes Payable $ $47,000$ $ $42,000$

Long$-$Term Debt $ $345,000$ $ $318,000$

Stockholders' Equity $ $620,000$ $ $590,000$

Total Liabilities & Stockholders' Equity $ $1,100,000$ $ $1,030,000$

Q$13(5$ points$).$

a$)$ Calculate $2023$ operating cash flow

b$)$ Calculate $2023$ net capital spending

c$)$ Calculate the change in net working capital in $2023$

Q$14(5$ points$).$ Calculate $2023$ cash flow from assets

Q$15(5$ points$).$

a$)$ Calculate $2023$ cash flow to creditors

b$)$ Use the cash flow identity to estimate $2023$ cash flow to shareholders

Q$16(5$ points$).$

a$)$ If you were to create a common$-$size balance sheet, what value would you enter for

inventory in $2023?$

b$)$ If you were to create a common$-$size income statement, what value would you enter for

SG&A in $2023?$

Q$17(5$ points$).$ Using the financial ratio definitions from the lecture, calculate the following ratios

for $2023$:

a$)$ Current ratio

b$)$ Inventory turnover

c$)$ Return on assets

Q$18(5$ points$).$ Use the financial statements to conduct a DuPont Analysis