Butterfly Tractors had $14.50 million in sales last year. Cost of goods sold was $8.10 million, depreciation expense was $210 million, interest payment on outstanding debt was $1.10 million, and the firm's tax rate was 21%. a. What was the firm's net income? (Enter your answers in millions rounded to 2 decimal places.) b. What was the firm's cash flow? (Enter your answers in millions rounded to 2 decimal places.) c. What would happen to net income and cash flow if depreciation were increased by $1.10 million? (Enter your numeric answers in millions rounded to 2 decimal places. Select "unaffected" if the results do not affect the balance.) . What would be the impact on cash flow if depreciation was $1.10 million and interest expense was $2.10 million? (Enter your numeric nnswer in millions rounded to 2 decimal places. Select "unaffected" if the results do not affect the balance.) Net income million a. b. Net cash flow million Net income would be by million c. Cash flow would be by million

Butterfly Tractors had $14.50 million in sales last year. Cost of goods sold was $8.10 million, depreciation expense was $210 million, interest payment on outstanding debt was $1.10 million, and the firm's tax rate was 21%. a. What was the firm's net income? (Enter your answers in millions rounded to 2 decimal places.) b. What was the firm's cash flow? (Enter your answers in millions rounded to 2 decimal places.) c. What would happen to net income and cash flow if depreciation were increased by $1.10 million? (Enter your numeric answers in millions rounded to 2 decimal places. Select "unaffected" if the results do not affect the balance.) . What would be the impact on cash flow if depreciation was $1.10 million and interest expense was $2.10 million? (Enter your numeric nnswer in millions rounded to 2 decimal places. Select "unaffected" if the results do not affect the balance.) Net income million a. b. Net cash flow million Net income would be by million c. Cash flow would be by million

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Provide Such Answer
Last year, Genten Company had sales of $7465 million. If Genten’s net profit margin was 0.41 and its return on assets was 0.37, what was Genten’s total assets?
Want the Answer with calculation
I need the answer as soon as possible
Company XYZ, an all-equity firm, reported incremental revenues (net income) of $336 million for the most recent year. The firm had depreciation expenses of $141 million and capital expenditures of $196 million. The company also had an increase in net working capital of $20 million. What is the free cash flow? Enter your answer in dollars and round to the nearest dollar.
. A firm has total sales of $64 million. It has gross profit of $12 million, operating income of $8.5 million, and net income of $8 million. a) What is the firm's net profit margin? b) If net profit increased to 15% from your answer in a), what percentage change does this represent?
Marine Outlets, Inc. had $ 14 million in sales last year, COGS of $ 8 million, depreciation expense of $ 2 million, $ 1 million in interest payments on long-term debt. If the firm's “tax rate” is 35%, how much is the Firm's Net Income?
Colorado Company has equity of $4,000,000 and a net income of $150,000. It has a payout ratio of 25% and a return on assets of 12%. How much did Colorado pay in cash dividends, and what were its average assets?
Provide Answer in text mode
Need help with this Question