The 2022 balance sheet of Fast Auto Manufacturers, showed $1.4 million in long-term debt, $470,000 inthe common stock account, and $4.15 million in the additional paid-in surplus account. The 2023balance sheet showed $3.15 million, $755,000, and $6.2 million in the same three accounts, respectively.The 2023 income statement showed an interest expense of $280,000. The company paid out $500,000 incash dividends during 2023.If the firm's net capital spending for 2023 was $330,000, and the firm reduced its net working capitalinvestment by $265,000, what was the firm's 2023 operating cash flow, or OCF?O $-3,240,000O $-4,130,000O $4,530,000$-3,400,000O $5,155,000

OCF = Cash Flow from Assets + ΔNWC + Net Capital SpendingWhere:Cash Flow from Assets is the sum of…

Answered: The 2022 balance sheet of Fast Auto…

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)

10th Edition

ISBN:9781337902571

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter3: Financial Statements, Cash Flow, And Taxes

Section: Chapter Questions

Problem 19SP

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