11.The Red Company’s balance sheet as of December 31, 2004 was as follows:
| Dec. 31, 2003
| Dec. 31, 2004
| Cash | $1,500,000 | $1,900,000 | Accounts Receivable | 3,000,000 | 3,400,000 | Inventory | 2,300,000 | 2,500,000 | Property, Plant & Equipment | 16,700,000 | 19,700,000 | Less Accumulated Depreciation | (5,300,000) | (8,200,000) | Total Assets | $18,200,000 | $19,300,000 |
| Accounts Payable | $2,100,000 | $1,900,000 | Interest Payable | 800,000 | 1,200,000 | Income Taxes Payable | 1,000,000 | 800,000 | Notes Payable | 2,700,000 | 2,900,000 | Deferred Income Taxes | 2,600,000 | 2,900,000 | Common Stock | 1,000,000 | 1,000,000 | Retained Earnings | 8,000,000 | 8,600,000 |
| $18,200,000 | $19,300,000 |
Red’s interest expense was $900,000 and income tax expense was $1,000,000 in 2004. Red prepares its Statements of Cash Flows using the direct method. The other cash outflows section of Cash Flow from Operations (CFO) for 2004 would total: A) $1,400,000. B) $1,700,000. C) $2,100,000. D) $1,900,000.
12.An analyst has gathered the following information about a company: Income Statement for the Year |
| Sales |
| $1,500 | Expenses |
|
|
| COGS | $1,300 |
|
| Depreciation | 20 |
|
| Goodwill | 10 |
|
| Int. Expenses | 40 |
|
|
| Total expenses |
| 1,370 | Income from cont. op. |
| 130 |
|
| Gain on sale |
| 30 | Income before tax |
| 160 | Income tax |
| 64 | Net Income |
| $96 | | | | | | | | |
Additional Information: | Dividends paid | $30 | Common stock sold | 20 | Equipment purchased | 50 | Bonds issued | 80 | Fixed asset sold for (original cost of $100 with accumulated depreciation of $70) | 60 | Accounts receivable decreased by | 30 | Inventory decreased by | 20 | Accounts payable increased by | 20 | Wages payable decreased by | 10 |
What is the cash flow from financing?</P A) $130. B) $70. C) $110. D) -$110. |
发表于 2008-4-11 18:01
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