14. Below is a recent income statement for Mountain Media Services, Inc.:Mountain Media Services, IncIncome Statement (S000s)For the Year Ended December 31, 2020Net SalesCost of Goods SoldGross Profit$1,100Net Income(290)Operating Expenses(330)Depreciation Expense(75)Earnings Before Interest and Taxes 315Interest Expense(75)Earnings Before TaxTax @ 20%720$263,500.$420,100.$202,000.$171,000.(48)$ 192Calculate Mountain Media Services' free cash flow in this year assuming it spent $72 on capital expenditures and increased working capital by $53. (All figures in $000s.)Formula:240Free Cash Flow =EBIT(1-Tax Rate) + Depreciation - Fixed Asset Investment - Investment in Working CapitalGroup of answer choices

FREE CASH FLOWFree cash flow means cash generated from operating activities after the payment of…

14. Below is a recent income statement for Mountain Media Services, Inc.: Mountain Media Services, Inc Income Statement ($000s) For the Year Ended December 31, 2020 Net Sales Cost of Goods Sold Gross Profit $1,100 Operating Expenses Depreciation Expense (290) 720 (330) (75) Earnings Before Interest and Taxes 315 Interest Expense (75) Earnings Before Tax 240 Tax @ 20% (48) Net Income $ 192 Calculate Mountain Media Services' free cash flow in this year assuming it spent $72 on capital expenditures and increased working capital by $53. (All figures in S000s.) Formula: Free Cash Flow = EBIT(1-Tax Rate) + Depreciation - Fixed Asset Investment - Investment in Working Capital Group of answer choices $263,500. $420,100. $202,000. $171,000.

14. Below is a recent income statement for Mountain Media Services, Inc.: Mountain Media Services, Inc Income Statement ($000s) For the Year Ended December 31, 2020 Net Sales Cost of Goods Sold Gross Profit $1,100 Operating Expenses Depreciation Expense (290) 720 (330) (75) Earnings Before Interest and Taxes 315 Interest Expense (75) Earnings Before Tax 240 Tax @ 20% (48) Net Income $ 192 Calculate Mountain Media Services' free cash flow in this year assuming it spent $72 on capital expenditures and increased working capital by $53. (All figures in S000s.) Formula: Free Cash Flow = EBIT(1-Tax Rate) + Depreciation - Fixed Asset Investment - Investment in Working Capital Group of answer choices $263,500. $420,100. $202,000. $171,000.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Prepare the Cash Flow Statement of Chelsea Limited for the year ended 31 December 2021. INFORMATION PEPSICO LIMITED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER: 2021 (R) 2020 (R) Sales 3 312 000 2 800 000 Cost of sales (1 616 000) (1 560 000) Gross profit 1 696 000 1 240 000 Selling and administrative expenses (672 000) (568 000) Operating profit 1 024 000 672 000 Interest expense (64 000) (32 000) Profit before tax 960 000 640 000 Tax (256 000) (172 000) Profit after tax 704 000 468 000 LIST OF BALANCES FROM THE STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: 2021 (R) 2020 (R) Land and buildings 1 760 000 1 504 000 Plant and machinery 992 000 848 000 Investments 240 000 0 Inventories 384 000 400 000 Accounts receivable 408 000 256 000 Cash and cash equivalents 72 000 64 000 Ordinary share capital 1 600 000 1 600 000 Retained earnings 896 000 480 000 Long-term loan 640 000 320 000 Accounts payable 384 000 448 000 Income tax payable 128 000 64 000 Dividends…
The following are financial statements of Carla Vista Co.. Carla Vista Co.Income StatementFor the Year Ended December 31, 2022 Net sales $2,247,500 Cost of goods sold 1,018,500 Selling and administrative expenses 901,000 Interest expense 82,000 Income tax expense 75,000 Net income $ 171,000 Carla Vista Co.Balance SheetDecember 31, 2022 Assets Current assets Cash $ 56,300 Debt investments 81,000 Accounts receivable (net) 169,500 Inventory 118,900 Total current assets 425,700 Plant assets (net) 574,000 Total assets $ 999,700 Liabilities and Stockholders’ Equity Current liabilities Accounts payable $ 161,000 Income taxes payable 37,000 Total current liabilities 198,000 Bonds payable 201,880 Total liabilities 399,880 Stockholders’ equity Common stock 355,000 Retained earnings 244,820…
Use the information above to calculate cash flows from operating activities using the indirect method. Note: Amounts to be deducted should be indicated by a minus sign. Cash flows from operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities $ 42,000 S 42.000 42.000
Sales Revenue Less: Cost of Goods Sold Gross Profits Less: Operating Expenses Operating Profits Less: Interest Expense Net Profits Before Taxes Less: Taxes (40%) Net Profits After Taxes Assets Cash Income Statement Pulp, Paper and Paperboard, Inc. For the Year Ended December 31, 2019 Accounts receivable Inventories Total current assets Gross fixed assets Less: Accumulated depreciation Net fixed assets Total assets Liabilities and stockholders' equity Current liabilities Balance Sheet Pulp, Paper and Paperboard, Inc. December 31, 2019 Accounts payable Notes payable Accruals Total current liabilities Long-term debts Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Calculate the following: NP, GP $2,080,976 1,701,000 $ 379,976 273,846 $ 106,130 19,296 S 86,834 34,810 S 52,024 Current Ratio - Quick Ratio Receivable days - Payable days $ 95,000 237,000 243.000 $ 575,000 500,000 75.000 $ 425,000…
Venus corp has the following income statement for the year 2020 Gross sales Sales return Sales Discount Net sales COS Salaries Depreciations expense Utilities Commissions Insurance expense Rent expense Interest expense Net income before tax Tax 25% Net income after tax Required: Compute for the time interest earned 2020 $4,750,000.00 P16,000.00 P7,000.00 $4,727,000.00 #2,299,000.00 $400,000.00 P90,000.00 P45,000.00 P50,000.00 P15,000.00 P30,000.00 $25,000.00
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66. Subject :- Accounting
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