45.
A positive cash flow to stockholders indicates which one of the following
with certainty?
46.
A firm has $520 in inventory, $1,860 in fixed assets, $190 in accounts
receivables, $210 in accounts payable, and $70 in cash. What is the amount
of the current assets?
47.
A firm has net working capital of $640. Long-term debt is $4,180, total
assets are $6,230, and fixed assets are $3,910. What is the amount of the
total liabilities?
48.
A firm has common stock of $6,200, paid-in surplus of $9,100, total
liabilities of $8,400, current assets of $5,900, and fixed assets of $21,200.
What is the amount of the shareholders’ equity?
49.
Your firm has total assets of $4,900, fixed assets of $3,200, long-term debt
of $2,900, and short-term debt of $1,400. What is the amount of net working
capital?
50.
Bonner Collision has shareholders’ equity of $141,800. The firm owes a total
of $126,000 of which 60 percent is payable within the next year. The firm
net fixed assets of $161,900. What is the amount of the net working
capital?
51.
Four years ago, Velvet Purses purchased a mailing machine at a cost of
$176,000. This equipment is currently valued at $64,500 on today’s balance
sheet but could actually be sold for $58,900. This is the only fixed asset the
firm owns. Net working capital is $57,200 and long-term debt is $111,300.
What is the book value of shareholders’ equity?
52.
Jake owns The Corner Market which he is trying to sell so that he can retire
and travel. The Corner Market owns the building in which it is located. This
building was built at a cost of $647,000 and is currently appraised at
$819,000. The counters and fixtures originally cost $148,000 and are
currently valued at $65,000. The inventory is valued on the balance sheet at
$319,000 and has a retail market value equal to 1.2 times its cost. Jake
expects the store to collect 98 percent of the $21,700 in accounts
receivable. The firm has $26,800 in cash and has total debt of $414,700.
What is the market value of this firm?
53.
Jensen Enterprises paid $1,300 in dividends and $920 in interest this past
year. Common stock increased by $1,200 and retained earnings decreased
by $310. What is the net income for the year?
54.
Andre’s Bakery has sales of $687,000 with costs of $492,000. Interest
expense is $26,000 and depreciation is $42,000. The tax rate is 35 percent.
What is the net income?
55.
Kaylor Equipment Rental paid $75 in dividends and $511 in interest
expense. The addition to retained earnings is $418 and net new equity is
$500. The tax rate is 35 percent. Sales are $15,900 and depreciation is
$680. What are the earnings before interest and taxes?
56.
Given the tax rates as shown, what is the average tax rate for a firm with
taxable income of $311,360?
57.
The tax rates are as shown. Nevada Mining currently has taxable income of
$97,800. How much additional tax will the firm owe if taxable income
increases by $21,000?
58.
Winston Industries had sales of $843,800 and costs of $609,900. The firm
paid $38,200 in interest and $18,000 in dividends. It also increased retained
earnings by $62,138 for the year. The depreciation was $76,400. What is the
average tax rate?
59.
Crandall Oil has total sales of $1,349,800 and costs of $903,500.
Depreciation is $42,700 and the tax rate is 34 percent. The firm does not
have any interest expense. What is the operating cash flow?
60.
Nielsen Auto Parts had beginning net fixed assets of $218,470 and ending
net fixed assets of $209,411. During the year, assets with a combined book
value of $6,943 were sold. Depreciation for the year was $42,822. What is
the amount of net capital spending?
61.
At the beginning of the year, a firm had current assets of $121,306 and
current liabilities of $124,509. At the end of the year, the current assets
were $122,418 and the current liabilities were $103,718. What is the change
in net working capital?
62.
At the beginning of the year, the long-term debt of a firm was $72,918 and
total debt was $138,407. At the end of the year, long-term debt was $68,219
and total debt was $145,838. The interest paid was $6,430. What is the
amount of the cash flow to creditors?
63.
Adelson’s Electric had beginning long-term debt of $42,511 and ending
long-term debt of $48,919. The beginning and ending total debt balances
were $84,652 and $78,613, respectively. The interest paid was $4,767. What
is the amount of the cash flow to creditors?
64.
The Daily News had net income of $121,600 of which 40 percent was
distributed to the shareholders as dividends. During the year, the company
sold $75,000 worth of common stock. What is the cash flow to
stockholders?