YOU MUST SHOW ALL CALCULATIONS TO EARN CREDIT.

2016 2017

BALANCE SHEETS:

Accounts Receivable520,000620,000

Fixed Assets, net 410,000 510,000

Total Assets1,355,0001,580,000

Liabilities and Equity:

Accounts Payable350,000$375,000

Long-term Debt500,000625,000

Common Stock50,00075,000

Retained Earnings 455,000 505,000

Total Liabilities and Equity1,355,0001,580,000

INCOME STATEMENT:

Revenue 3,500,000

Cost of Goods Sold 2,275,000

General and Administrative 515,000

Depreciation Expense 120,000

Earnings Before Interest and Taxes 590,000

Interest Expense 40,000

Pretax Net Income 550,000

Income Taxes 167,000

Net Income 383,000

What was Gannons total current assets at the end of 2017?

What was Gannons net working capital at the end of 2017?

What was Gannons shareholders equity at book value at the end of 2017?

An appraiser recently valued Gannons fixed assets at $600,000 and determined that $40,000 of their accounts receivable was noncollectible. Based on only this information and the balance sheet above, what was the market value of Gannons shareholders equity at the end of 2017?

Assuming that Gannon did not buy back or redeem any of its shares, how much new common stock did it issue in 2017?

How much dividends did Gannon pay out to its shareholders in 2017?

What was Gannons effective annual average tax rate in 2017?

If Gannon had 18,000 shares of common stock outstanding throughout 2017, what was its Earnings per Share (EPS) in 2017?

Assuming that Gannon didnt dispose of any of its fixed assets, how much new capital spending did it incur in 2017?

What was Gannons Operating Cash Flow (OCF) in 2017?

What was Gannons investment in net working capital for 2017?

What was Gannons Cash Flow to Creditors in 2017?

What was Gannons Cash Flow to Stockholders in 2017?

For questions #19-20, assume that a corporations pretax net income is taxable (Federal + State) based on 21% of the first $300,000, 30% of the next $400,000, and 34% of anything beyond that.