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7. Barney Corporation 2013 financial statements showed the following: sales -100

ID: 2427382 • Letter: 7

Question

7. Barney Corporation 2013 financial statements showed the following: sales -100000, cost of goods- 48500, other expences-15800, depreceiation expense-8000, interest expense - 12660, taxes - 5300, dividends - 12000, 2013new equity - 6000, net new long term debt - 25000, change in fixed assets - 12000.

a. Calculate the operating cash flow for the firm. b. Calculate the cash flow to creditors. c. Calculate the cash flow to stockholders. d. If the net fixed assets increased by $12 ,000 during the year, what was the change to Net Working Capital NWC ?

Explanation / Answer

a. Calculation of Operating cash flows

b. Cash flow to the creditors

c. Cash flows to the stockholders

Sales 100000 Less: Cost of goods sold 48500 Less: Other expenses 15800 Operating acsh flows $35700
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