20capital investment by $55,000. What was e III 314. Calculating Total Cash Flows (LO3) Teeswater Corp. shows the following information on its 2020 statement ofcomprehensive income: sales = $235,000; costs = $141,000; other expenses = $7,900;depreciation expense = $17,300; interest expense = $12,900; taxes = $19,565; dividends = $12,300. In addition,you're told that the firm issued $6,100 in new equity during 2020 and redeemed $4,500 in outstanding long-term debt.a. What is the 2020 operating cash flow?b. What is the 2020 cash flow to creditors?c. What is the 2020 cash flow to shareholders?d. If net fixed assets increased by $25,000 during the year, what was the addition to NWC?Page 64

Operating Cash Flow :— It is the cash generated from operation of business. Operating Cash Flow =…

Answered: 2020 capital investment by $55,000.…

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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Calculating OCF (LO3) Fergus Inc. has sales of $39,500, costs of $18,400, depreciation expense of $1,900, and interest expense of $1,400. If the tax rate is 35%, what is the operating cash flow, or OCF?
Q1. Complete the statement provided, for a tax rate of 20% and calculate the Operating cash flow 2019 Income Statement 201,200 108,660 20,790 27,300 Sales Cost of goods sold Selling & Administrative Depreciation EBIT Interest 5,520 EBT Таxes NI Dividends 9,343 21,801 Addition to retained profits
Ag/ionmResponse pli=1 Consider the following statement of cash flows for Chicken Fil-A company. (in thousands) Cash flows from operating activities (CFO): 2020 2019 Net income $8,100 $6,800 Adjustments to reconcile net income to CFO Depreciation and amortization 3,100 900 (600) 1,600 Deferred income taxes 700 Other non-cash items (700) (Increase) decrease in operating assets and liabilities: Accounts receivable Inventories Other current assets Accounts payabie Income taxes payable (7,800) (2,100) (900) 1.300) (2,300) 1,700 2,000 4.100 (800) 700 13.800 400 Accrued liabilities 1,700 1500 Net CFO Cash flows from investing activities: Purchases of property and equipment Net cash used by investing activities Cash flows from financing activities: Proceeds from common stock sales Proceeds (repayments) of short-term debt Repayment of long-term debt Net cash provided by financing activities (800) (800) (1200) (1.200) 4700 4.600 (1,100) 13.300 200 4600 200 5.300 12.800 30 600 17.800 %2435.900…
LO4 13. Calculating Cash Flows Weiland Co. shows the following information on its 2022 income statement: sales = $336,000; costs = $194,700; other expenses = $9,800; depreciation expense = $20,600; interest expense = $14,200; taxes = $21,275; dividends = $21,450. In addition, you're told that the firm issued $7,100 in new equity during 2022 and redeemed $5,400 in outstanding long-term debt. Page 47 a. What is the 2022 operating cash flow? b. What is the 2022 cash flow to creditors? c. What is the 2022 cash flow to stockholders? d. If net fixed assets increased by $53,200 during the year, what was the addition to NWC?
181 An investor is considering a business opportunity with the anticipated re- ceipts and disbursements shown in the following table. Calculate the net cash flow representing this investment, and then find the present worth of the net cash flow for an interest rate of 0% and 12%. Answer: $175,000; –$12,915 End of Year Disbursements Receipts $300,000 75,000 25,000 30,000 $ 20,000 60,000 1 135,000 180,000 210,000 4
Calculate IRR of the following cash flow: CFO=-5 million; CF1=3 million; CF2=1 million; CF3=2 million; WACC=10%. 10.70% 11.53% 18.12% 5.26%
Kirkwood Corp has the following financial information: • EBITDA = $200 • Interest Expense = $20 • Tax Rate = 30% • Depreciation/ Amortization = $50 • Capital Expenditures = $30 • Change in NWC = = $15 Calculate operating free cash flow. (Note this cash flow is sometimes referred to as Enterprise FCF or Unlevered FCF) Round to nearest whole number
Given: Base amount = $5000, gradient = $1000,/= 12 %, n=5. For the given values, determine the factors that are used to calculate the present worth of the cash flow series in year 0. 6.397 0.5674 3.605 1.762
Calculate return on assets and profit margin.LO9 The following information is available for Ware Ltd for 2018: sales revenue $7 840 000; cost of sales $3 528 000; profit $1 176 000; total equity $2 233 300; average total assets $5 113 000. Calculate the return on assets and profit margin for Ware Ltd for 2018.
39.) Using a cost of capital of 10%, compute the Net Present Value of the following set of cash flows: Year Cash Flow 0 ($1,100) 1 $400 2 $400 3 $600 Question 39 options: $0 $45 $300 $143
Consider the following information:· Net income = $100 000· Gross income = $300 000· Change in book value of assets = ($50 000)· Cost of equity = 12 per centUsing the discounted cash flow model, what would be the present value of free cash flows at t+1?
2. Compute the IRR for the investment represented by the following cash flow table: Year 1 4 6. 7. Cash Flow -1200 +350 +300 +250 +200 +150 +100 +50 (in $1000's)

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