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Use the following information for Questions 2-7. Beta Corp. has the following balance sheet and the income statement: Statement of Financial Position as of December

Use the following information for Questions 2-7.

Beta Corp. has the following balance sheet and the income statement:

Statement of Financial Position as of December 31, 2021, and 2022 ($ thousands)

2021 2022
ASSETS
Current assets
Cash 76 80
Accounts receivable 146 168
Inventory 287 342
Total 509 590
Fixed assets
Net plan and equipment 2634 2970
Total assets 3143 3560
LIABILITIES AND OWNERS' EQUITY
Current liabilities
Accounts payable 202 264
Notes payable 171 188
Total 373 452
Long-term debt 567 420
Owners' equity
Common stock 550 784
Retained earnings 1653 1904
Total 2203 2688
Total liabilities and owners' equity 3143 3560

Statement of Comprehensive Income ($ thousands)

2021 2022
Sales 2187 2472
Cost of goods sold 1168 1313
Depreciation 342 388
Interest paid 117 91
Taxes 25% of taxableincome 25% of taxableincome
Dividends 200 259

Question 3 (5 points). Calculate:

  1. Cash flow from assets for Beta Corp. in 2022? (2 points)
  2. Cash flow to creditors for Beta Corp. in 2022? (1 point)
  3. Cash flow to shareholders for Beta Corp. in 2022? (1 point)
  4. Verify that the cash flow identity holds in this case (i.e., show that Cash flow from assets = Cash flow to creditors + Cash flow to shareholders). (1 point)

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