Galaxy Interiors 2011 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings...

  

Transcribed Image Text:

Galaxy Interiors 2011 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes 3,396 Interest paid 1,282 Taxable Income $2,114 Less: Taxes 740 Net income $1,374 Cash Accounts receivable Inventory Total Net fixed assets $21,415 16,408 1,611 Total assets Galaxy Interiors 2010 and 2011 Balance Sheets ($ in millions) 2011 2010 $668 1,611 1,527 Notes payable 3,848 2,947 Total $6,127 $4,771 17,489 17,107 $297 Accounts payable Long-term debt Common stock 2010 2011 $1,694 $1,532 2,500 0 $4,194 $1,532 9,800 10,650 7,500 7,000 2,122 2,696 Retained earnings $23,616 $21,878 Total liability and equity $23,616 $21,878 Explain the change in the cash balance from $668 million to $297 million by showing the effect of operating activity, investment activity, and financing activity. Galaxy Interiors 2011 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes 3,396 Interest paid 1,282 Taxable Income $2,114 Less: Taxes 740 Net income $1,374 Cash Accounts receivable Inventory Total Net fixed assets $21,415 16,408 1,611 Total assets Galaxy Interiors 2010 and 2011 Balance Sheets ($ in millions) 2011 2010 $668 1,611 1,527 Notes payable 3,848 2,947 Total $6,127 $4,771 17,489 17,107 $297 Accounts payable Long-term debt Common stock 2010 2011 $1,694 $1,532 2,500 0 $4,194 $1,532 9,800 10,650 7,500 7,000 2,122 2,696 Retained earnings $23,616 $21,878 Total liability and equity $23,616 $21,878 Explain the change in the cash balance from $668 million to $297 million by showing the effect of operating activity, investment activity, and financing activity.

Answer rating: 100% (QA)

Amount need to be saved till retirement Future value 1000000 Deposit per quarter P 1000 Ra... View the full answer