also compute for
1. Net Operating Working Capital for 19x1

2. Total Operating Capital for 19x1

3. Free Cash Flow for 19x2

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3. Financial statements for the Sennet Corporation follows: Sennet Corporation Balance Sheet, December 31 (in millions) Assets Liabilities and Equity Cash Accounts Receivable Inventories Current Assets Net Plant Total Assets 19x1 $4 $7 $12 $23 $40 $63 19x2 $5 $10 $15 Expenses Cost of Goods Sold Selling, General and Administrative Depreciation Interest Net Income Before Taxes Less: Taxes $30 $40 $70 Notes Payable Accounts Payable Accrued Wages Accrued Taxes Current Liabilities Long-Term Debt Common Stock Retained Earnings Total Liabilities and Equity Sennet Corporation Income Statement, 19x2 (in millions) Net Sales $50 $15 $3 $2 19x1 $5 $8 $2 85828 $3 $18 $20 $10 $15 $63 19x2 $5 $10 $3 $2 $20 $20 $10 $20 $70 Net Income a. Prepare a source and use of funds statement for Sennet (cash basis). b. Prepare a source and use of funds statement for Sennet (working capital basis). $95 $70 $25 $10 $15 3. Financial statements for the Sennet Corporation follows: Sennet Corporation Balance Sheet, December 31 (in millions) Assets Liabilities and Equity Cash Accounts Receivable Inventories Current Assets Net Plant Total Assets 19x1 $4 $7 $12 $23 $40 $63 19x2 $5 $10 $15 Expenses Cost of Goods Sold Selling, General and Administrative Depreciation Interest Net Income Before Taxes Less: Taxes $30 $40 $70 Notes Payable Accounts Payable Accrued Wages Accrued Taxes Current Liabilities Long-Term Debt Common Stock Retained Earnings Total Liabilities and Equity Sennet Corporation Income Statement, 19x2 (in millions) Net Sales $50 $15 $3 $2 19x1 $5 $8 $2 85828 $3 $18 $20 $10 $15 $63 19x2 $5 $10 $3 $2 $20 $20 $10 $20 $70 Net Income a. Prepare a source and use of funds statement for Sennet (cash basis). b. Prepare a source and use of funds statement for Sennet (working capital basis). $95 $70 $25 $10 $15

Answer rating: 100% (QA)

1a Source and Use of Funds Statement for Sennet Cash Basis Sources of Funds Increase in Notes Payabl... View the full answer