Alanta Corporation reported the following information for Year 7 and Year 6. December 31 Year 7 Year 6 Operating assets $147,691 $137,890 Operating liabilities 108,707 103,352 Net cash flow from operations 42,038 35,586 Net operating profit after tax (NOPAT) 30,034 28,568 Discount factor 6% 6% What are the company’s free cash flows to the firm (FCFF) for Year 7? Select one: a. $37,592 b. $34,480 c. None of these are correct d. $23,582 e. $25,588

Alanta Corporation reported the following information for Year 7 and Year 6. December 31 Year 7 Year 6 Operating assets $147,691 $137,890 Operating liabilities 108,707 103,352 Net cash flow from operations 42,038 35,586 Net operating profit after tax (NOPAT) 30,034 28,568 Discount factor 6% 6% What are the company’s free cash flows to the firm (FCFF) for Year 7? Select one: a. $37,592 b. $34,480 c. None of these are correct d. $23,582 e. $25,588

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 13MCQ

See similar textbooks

December 31	Year 7	Year 6
Operating assets	$147,691	$137,890
Operating liabilities	108,707	103,352
Net cash flow from operations	42,038	35,586
Net operating profit after tax (NOPAT)	30,034	28,568
Discount factor	6%	6%

Similar questions

Computing Cash Payments for Income Taxes. Visa Inc., a credit card company, reported income tax expense of 1,648 million for Year 1, comprising 1,346 million of current taxes and 302 million of deferred taxes. The balance sheet showed income taxes payable of 122 million at the beginning of Year 1 and 327 million at the end of Year 1. Commute the amount of income taxes paid in cash during Year 1.
Financial statement data for years ending December 31 for Newton Company follow: Line Item Description 20Y9 20Y8 Cash (end of year) $26,270 $23,260 Short-term investments (end of year) 8,290 9,500 Operating expenses 60,070 62,700 Depreciation expense 13,350 11,600 Determine the days’ cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Year Days’ Cash on Hand 20Y8: fill in the blank 1 of 2 days 20Y9: fill in the blank 2 of 2 days
Alanta Corporation reported the following information for Year 7 and Year 6. Operating assets Operating liabilities Net cash flow from operations Net operating profit after tax (NOPAT) Discount factor December 31 Select one: What are the company's free cash flows to the firm (FCFF) for Year 7? O Year 7 Year 6 $131,281 $122,569 96,628 91,869 37,367 31,632 26,697 25,394 6% 6% a. None of these are correct b. $20,962 c. $33,414 d. $30,650 e. $22,744
pays' cash on hand Financial statement data for years ending December 31 for Newton Company follow: 20Y9 20Y8 Cash (end of year) $25,538 $24,078 Short-term investments (end of year) 8,260 9,480 Operating expenses 60,135 63,465 Depreciation expense 13,050 12,000 Determine the days' cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Days' Cash on Hand 20Y8: 20Y9: days days
Days' cash on hand Financial statement data for years ending December 31 for Newton Company follow: 20Y9 20Υ8 Cash (end of year) $24,665 $24,840 Short-term investments (end of year) 8,210 9,480 Operating expenses 59,050 64,095 Depreciation expense 13,425 Determine the days' cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Days' Cash on Hand 20Y8: days 20Y9: days P. > Check My Work Save and Exit Submi All work saved.
Days' cash on hand Financial statement data for years ending December 31 for Newton Company follow: 20Y9 20Y8 Cash (end of year) $26,530 $23,121 Short-term investments (end of year) 8,300 9,450 Operating expenses 60,210 63,365 Depreciation expense 13,125 11,900 Determine the days’ cash on hand for 20Y8 and 20Y9. Assume 365 days in a year. Days’ Cash on Hand 20Y8: fill in the blank 1 days 20Y9: fill in the blank 2 days
ratio. Deana Company's working capital accounts at December During 19x7, Denna Company completed the following transactions P17-11 Effect of various transa given below: Cash Marketable securities Accounts receivable (net) Inventory - Prepaid expenses Accounts payable Notes due within one year Accrued llabilities. S 50,000 30,000 200,000 210,000 10,000 150,000 30,000 20,000 R Paid a cash dividend previously declared, $12.000 b. Soid inventory costing $50,000 for $30,000, on account Wrote off uncollectible accounts in the amount of $10 000 Declared a cash dividend, $15,000. Paid accounts payable, $50,000. f. Borrowed cash on a short-term note with the bank, $35.000 A Sold inventory costing $15,000 for SI0,000 cash. Purchased inventory on account, $60,000. DI Paid off all short-term notes due, $30,000. Purchased equipment for cash, $15,000. d. e. h. j. Sold marketable securities costing $18,000 for cash, $15,000 k. Collected cash on accounts receivable, $80,000. ves Compute the following…
Category Prior Year Current Year Accounts payable ??? Accounts receivable 320,715 397,400 Accruals 40,500 33,750 Additional paid in capital 500,000 541,650 Cash 17,500 47,500 Common Stock 94,000 105,000 COGS 328,500 431,516.41 Current portion long-term debt 33,750 35,000 Depreciation expense 54,000 55,946.66 Interest expense 40,500 41,874.31 Inventories 279,000 288,000 Long-term debt 336,467.85 401,942.46 Net fixed assets 946,535 999,000 Notes payable 148,500 162,000 Operating expenses (excl. depr.) 126,000 161,499.58 Retained earnings 306,000 342,000 Sales 639,000 854,554.01 Taxes 24,750 48,384.56 ??? What is the current year's return on equity (ROE)? Submit Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign re rounded to 4 decimal places (ex: 0.0924))
Consider the following information from the Income Statement of Production Ltd. on 31st December 2022 (accounting year-end): Operating profit equals £30,000 and depreciation expense equals £2,000. In addition, consider the following information from the Statement of Financial Position of Production Ltd.: Trade Receivables Trade Payables 31st December 2021 31st December 2022 £ £ 2,500 9,000 32,000 12,000 Additional information: • Tax paid on cash during the current accounting year amounts to £12,500 • Gain on asset disposal equals £1,000. Considering all the previous information from Production Ltd., which of the following statements is true on 31st December 2022? O a. Production Ltd. shows a negative net cash flow from operating activities which equals -£8,000. O b. Production Ltd. shows a positive net cash flow from operating activities which equals £3,000. O c. The net cash flow from operating activities equals £0 O d. None of the answers is true.
Comparative statement of financial position of Alpha Sdn Bhd as at 31 December 2023 Cash at bank Accounts receivable fless: provision for doubtful Inventories Plant and equipment (NBV) Investment in government securities Total assets Ordinary shares 180 million 10% Preference shares. Retained earnings Accounts payable Tax payable Deferred taxation 10% Debentures Sales Less: Cost of sales Gross profit Operating expenses Operating profit Investment income Profit before tax Taxation Profit after tax Interim dividend paid Profit attributable to members Additional information: I. II. III. Required: b. 2023 BM million a. Prepare the cash flow statement for Alp Show the reconciliation of profit before # # # # 84.00 585.50 33.60 509.20 1.094.70 # Income statement for the year ended 31 December 2023 105.00 815.00 205.90 15.00 37.80 21.00 RM million 860.00 560.00 300.00 224.40 75.60 9.00 84.60 18.80 65.80 34.30 31.50 RM 279.70 258.70 1,094.70 802.20 50.40 219.00 134.40 (26 marks) (14 marks)…
Category Accounts payable Accounts receivable Accruals Additional paid in capital Cash Common Stock COGS Current portion long-term debt Depreciation expense Interest expense Inventories Long-term debt Net fixed assets Notes payable Operating expenses (excl. depr.) Retained earnings Sales Taxes Prior Year Current Year ??? ??? 320,715 397,400 40,500 33,750 500,000 541,650 17,500 47,500 94,000 105,000 328,500 431,876.00 33,750 35,000 54,000 54,402.00 40,500 42,823.00 279,000 288,000 339,660.00 398,369.00 946,535 999,000 148,500 162,000 126,000 162,881.00 306,000 342,000 639,000 847,928.00 24,750 47,224.00 What is the current year's return on assets (ROA)? Submit Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))
Cash Flow RatiosSpencer Company reports the following amounts in its annual financial statements: Cash flow from operating activities $90,000 Capital expenditures $59,500* Cash flow from investing activities (68,000) Average current assets 136,000 Cash flow from financing activities (8,500) Average current liabilities 102,000 Net income 42,500 Total assets 255,000 * This amount is a cash outflowa. Compute Spencer's free cash flow.b. Compute Spencer's operating-cash-flow-to-current-liabilities ratio.c. Compute Spencer's operating-cash-flow-to-capital-expenditures ratio. Round ratios to two decimal points. a. Free cash flow Answer b. Operating-cash-flow-to-current-liabilities ratio Answer c. Operating-cash-flow-to-current-expenditures ratio Answer