The 2020 balance sheet of Osaka's Tennis Shop, Incorporated, showed $640,000 in the common stock account and $5.8 million in the additional paid-in surplus account. The 2021 balance sheet showed $680,000 and $6.3 million in the same two accounts, respectively. If the company paid out $625,000 in cash dividends during 2021, what was the cash flow to stockholders for the year? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.)

The 2020 balance sheet of Osaka's Tennis Shop, Incorporated, showed $640,000 in the common stock account and $5.8 million in the additional paid-in surplus account. The 2021 balance sheet showed $680,000 and $6.3 million in the same two accounts, respectively. If the company paid out $625,000 in cash dividends during 2021, what was the cash flow to stockholders for the year? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Similar questions

Buffalo Co. reported $142,000 of net income for 2020. The accountant, in preparing the statement of cash flows, noted the following items occurring during 2020 that might affect cash flows from operating activities. 1. Buffalo purchased 100 shares of treasury stock at a cost of $20 per share. These shares were then resold at $25 per share. 2. Buffalo sold 100 shares of IBM common at $200 per share. The acquisition cost of these shares was $130 per share. There were no unrealized gains or losses recorded on this investment in 2020. 3. Buffalo revised its estimate for bad debts. Before 2020, Buffalo’s bad debt expense was 1% of its receivables. In 2020, this percentage was increased to 2%. Net account for 2020 were $545,900, and net accounts receivable decreased by $12,000 during 2020. 4. Buffalo issued 500 shares of its $10 par common stock for a patent. The market price of the shares on the date of the transaction was $23 per share. 5. Depreciation expense is…
Interest expense for Rhodes Manufacturing was $500,000 in 2018. During 2018, $3.7 million in old debt was repaid and $1.6 million was raised through new borrowing. Dividends of $460,000 were paid and $1.7 million was raised through new share sales. a. Calculate the cash flow to bondholders. Treat interest as a financing flow. (Enter answers in dollar, not in millions of dollar. Use minus sign to enter cash or financing outflows, if any.)
Your company ended 2018 with cash of $8M. Cash increased year-end 2019 by 20%. Sales in 2019 were $30M. What is the Cash Turnover Ratio for 2019? 4.2 3.4 4.3 3.8 please explain your answer and give rught choices
As a financial analyst, you have been tasked with evaluating Randy Watson Music's free cash flow. Based on the 2022 income statement, EBIT was $41 million, the tax rate was 21 percent, and its depreciation expense was $6 million. NOPAT gross fixed assets increased by $28 million from 2021 and 2022. The company's current assets increased by $18 million and current liabilities increased by $14 million. Calculate the operating cash flow (OCF) for 2022. (Enter your answer in millions of dollars.)
For the year ending 2022, determine the Net New Equity, Change in Net Working Capital, Net Capital Spending and Operating Cash flow. Calculate the cash flow from assets, cash flow to creditors, and cash flow to stockholders for 2022. Calculate the Dividends per Share and Earnings per Share for each year for Brown Company. Briefly comment on the company’s cash flows for 2022 in light of an expansion plan which will be financed by both debt and equity.
CoinSoft was a company that developed software to manage portfolios of cryptocurrencies. In 2021, the company's revenue was $14 million. In 2022, customers paid for $4 million in upgrades. In the same year, there were $0.5 million in downgrades and $0.8 million in reduced revenue from customers who went out of business themselves or switched to a competitor. Calculate the net dollar retention in percentage form? The correct answer is 119.3, please explain fully
From the financial statements of Company A for the year 2022, we read the following information: Book value of equity = $100 millions, Net income = $20 millions. Distributed Cash dividend = $12 millions. There are 10 millions common shares of the company in circulation. Answer the following questions, assuming the required return of 10%. What would be its expected value at the end of 5 years, namely P5? a. 26.32 b. 15.62 c. 17.63 d . 10.65
The Bouchard Company's EPS was $5.90 in 2021, up from $3.47 in 2016. The company pays out 50% of its earnings as dividends, and its common stock sells for $31.00. a. Calculate the past growth rate in earnings. (Hint: This is a 5-year growth period.) Round your answer to two decimal places. % b. The last dividend was Do = 0.50($5.90) = $2.95. Calculate the next expected dividend, D1, assuming that the past growth rate continues. Do not round intermediate calculations. Round your answer to the nearest cent. $ c. What is Bouchard's cost of retained earnings, rs? Do not round intermediate calculations. Round your answer to two decimal places. %
The 2020 balance sheet of Osaka's Tennis Shop, Incorporated, showed long-term debt of $6.5 million, and the 2021 balance sheet showed long-term debt of $6.7 million. The 2021 income statement showed an interest expense of $230,000. During 2021, the company had a cash flow to creditors of $30,000 and the cash flow to stockholders for the year was $85,000. Suppose you also know that the firm's net capital spending for 2021 was $1.50 million and that the firm reduced its net working capital investment by $95,000. What was the firm's 2021 operating cash flow, or OCF? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.) Operating cash flow
Julia Prendergast Company expects the following for 2024: Net cash provided by operating activities of $152,000. Net cash provided by financing activities of $57,000. Net cash used for investing activities of $81,000 (no sales of long-term assets). Cash dividends paid to stockholders of $9,000. How much free cash flow does Prendergast expect for 2024? . . . .
The Harrison Bicycle Company had the following operating results for 2021-2022. In addition, the company paid dividends in both 2021 and 2022 of $80,000 per year and made capital expenditures in both years of $230,000 per year. The company's stock price in 2021 was $14.20 and $12.50 in 2022. Also in 2022, the industry average earnings multiple for the bicycle industry was 8 and the free cash flow and sales multiples were 16 and 1.35, respectively. The company is publicly owned and has 1,400,000 shares of outstanding stock at the end of 2022. Balance Sheet, December 31, 2022 2021 Cash $ 267,000 $ 100,000 Accounts Receivable $ 525,000 $ 400,000 Inventory $ 450,000 $ 300,000 Total Current Assets $ 1,242,000 $ 800,000 Long-lived Assets 1,205,000 1,100,000 Total Assets $ 2,447,000 $ 1,900,000 Current Liabilities $ 500,000 $ 300,000 Long-term Debt 600,000 500,000 Shareholder Equity 1,347,000 1,100,000 Total Debt and Equity $ 2,447,000 $ 1,900,000 Income…

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS