Balance Sheet                                                        2007          2008                                                                                  2007          2008   Cash                                  $     1,700    $    1,600             Accounts payable                                $13,800    $  12,900   Accounts receivable              14,300       17,400             Long-term debt                                      47,500        48,600   Inventory                                22,500       23,700             Common stock                                       17,000        22,000   Net fixed assets                      82,900       81,600             Retained earnings                                   43,100        40,800   Total assets                        $121,400   $124,300            Total liabilities and equity                   $121,400    $124,300                                                                                       Income Statement                                                                   Net Sales                              $163,700                                                                   Costs                                      108,200                                                                   Depreciation                            14,100                                                                   EBIT                                        41,400                                                                   Interest                                       3,800                                                                   Taxable income                       37,600                                                                   Taxes                                       13,200                                                                   Net Income                          $  24,400   What is the amount of the operating cash flow?     Question 1 options:   i)  $38,500   ii)  $30,500   iii)  $42,300   iv)    $24,400

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Balance Sheet

 

                                                     2007          2008                                                                                  2007          2008

 

Cash                                  $     1,700    $    1,600             Accounts payable                                $13,800    $  12,900

 

Accounts receivable              14,300       17,400             Long-term debt                                      47,500        48,600

 

Inventory                                22,500       23,700             Common stock                                       17,000        22,000

 

Net fixed assets                      82,900       81,600             Retained earnings                                   43,100        40,800

 

Total assets                        $121,400   $124,300            Total liabilities and equity                   $121,400    $124,300

 

 

 

                                                                                Income Statement

 

                                                                Net Sales                              $163,700

 

                                                                Costs                                      108,200

 

                                                                Depreciation                            14,100

 

                                                                EBIT                                        41,400

 

                                                                Interest                                       3,800

 

                                                                Taxable income                       37,600

 

                                                                Taxes                                       13,200

 

                                                                Net Income                          $  24,400

 

What is the amount of the operating cash flow?

 

 

Question 1 options:

 

i) 

$38,500

 

ii) 

$30,500

 

iii) 

$42,300

 

iv) 

  $24,400

Balance Sheet
2007
2008
2007
2008
Cash
$
1,700 $
1,600
Accounts payable
$13,800 $ 12,900
Accounts receivable
14,300
17,400
Long-term debt
47,500
48,600
Inventory
22,500
23,700
Common stock
17,000
22,000
Net fixed assets
82,900
81,600
Retained earnings
43,100
40,800
Total assets
$121,400 $124,300
Total liabilities and equity
$121,400 $124,300
Transcribed Image Text:Balance Sheet 2007 2008 2007 2008 Cash $ 1,700 $ 1,600 Accounts payable $13,800 $ 12,900 Accounts receivable 14,300 17,400 Long-term debt 47,500 48,600 Inventory 22,500 23,700 Common stock 17,000 22,000 Net fixed assets 82,900 81,600 Retained earnings 43,100 40,800 Total assets $121,400 $124,300 Total liabilities and equity $121,400 $124,300
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Balance Sheet Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education