Question: The 2017 balance sheet of Kerber's Tennis Shop, Inc., showed long-term debt of $1.87 million, and the 2018 balance sheet showed long-term debt of $2.21
The 2017 balance sheet of Kerber's Tennis Shop, Inc., showed long-term debt of $1.87 million, and the 2018 balance sheet showed long-term debt of $2.21 million. The 2018 income statement showed an interest expense of $255,000. During 2018, Kerber's Tennis Shop, Inc., realized the following:
Cash flow to creditors-$85,000
Cash flow to stockholders $170,000
Suppose you also know that the firm's net capital spending for 2018 was $1,250,000, and that the firm reduced its net working capital investment by $45,000.
What was the firm's 2018 operating cash flow, or OCF? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.)
Operating cash flow
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