Using the information from 22-16, create a cash flow statement for 2016. Information from 22-16: Bristle Brush-Off
Question:
Using the information from 22-16, create a cash flow statement for 2016.
Information from 22-16:
Bristle Brush-Off Corporation: Income Statements for Years Ended December 31 ($000s)
Transcribed Image Text:
2016 2015 Sales $7,950 $7,000 Cost of goods sold Other expenses 5,100 4,600 500 350 Depreciation 750 600 Earnings before interest and taxes 1,750 1,300 Interest 500 654 Earnings before taxes Taxes (25%) 1,096 800 274 200 $ 822 Net Income $ 600 Bristle Brush-Off Corporation: Balance Sheets as at December 31 ($000s) 2015 2016 Assets Cash $ 60 40 Short-term investments 380 Accounts receivable 2,140 1,950 Prepaid expenses Inventory 40 40 2,760 2,400 4,980 Total current assets 4,830 Gross plant property & equipment Less: Accumulated depreciation 7,750 6,350 2,680 З430 Net plant property & equipment Total assets $4,320 $3,670 $9,300 $8,500 Liabilities and Equity Accounts payable Notes payable $2,890 $2,580 1,050 903 Accruals 85 70 Total current liabilities 3,878 3,700 Long-term debt Common stock (400,000 shares) Retained earnings Total equity Total liabilities and equity 500 500 3,200 3,200 1,722 1,100 4,922 4,300 $9,300 $8,500 Stock price WACC $ 20 $18.70 13% 13%
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Related Book For
Financial Management Theory And Practice
ISBN: 978-0176583057
3rd Canadian Edition
Authors: Eugene Brigham, Michael Ehrhardt, Jerome Gessaroli, Richard Nason
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