Question

Use the following information for Taco Swell, Inc., (assume the tax rate is 24 percent) 2017 2018 Sales Depreciation Cost of goods sold Other expenses Interest Cash Accounts receivable Short-term notes $22,549 $ 19,128 2.496 2,604 6,851 1,427 1,238 1,385 8,736 9,607 13,842 6,290 1,170 11,608 1,794 1,761 payable Long-term debt Net fixed assets Accounts payable Inventory Dividends 29,420 35,529 73,045 77,970 6,341 7000 20,628 21,982 2,579 2,434 For 2018, calculate the cash flow from assets, cash flow to creditors, and cash flow to stockholders. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

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Answer 1

SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE

14:05 A ENG 26-01-2020 GB75 Formula Bar GE FU FV FW FX FY FZ GA GB GC GD GF GC - 75 TACO SWELL 76 income statement 2018 77 SALES 19128 78 LESS COGS 6851 79 LESS OTHER EXPENSE 1238 80 LESS DEPRECIATION 2604 81 8435 EBIT 82 LESS INTEREST 1385 83 EBT 7050.00 84 1692.00 LESS TAX 85 NET INCOME 5358.00 86 OCF = EBIT + DEPRECIATION - TAXES 87 a 9347.00 88 OCF = 89 OCF - NET CAPITAL SPENDING - NET CHANGE IN WORKING CAPITAL 90 Cashflow from assets = 91 9347 - 7529 -3833 = -2015.00 92 ENDING NET FIXED ASSETS - BEGINNING FIXED ASSETS + DEPRECIATION 93 NET CAPITAL SPENDING = 77970 -73045 +2604 = 94 7529 95 NET CHANGE IN WORKING CAPITAL = CHANGE IN CURRENT ASSETS - CHANGE IN CURRENT LAIBILTIES 96 NET CHANGE IN WORKING CAPITAL = ((9607+13842+ 21982)-(8736+11608+20628)) -((1761 +7000) -(1794+6341)) NET CHANGE IN WORKING CAPITAL = 97 98 3833 HEDGING MONEY MARKET GRO' .. O ARM, MSI,confidencelNDEX CURRENCY NPV OCF CASH FLOW STATW FCF LOAN CROSS OVER GM HPR AM TAX

14:05 E ENG 26-01-2020 GB122 FU FV FW FX FY FZ GA GB GC GD GE GF GC - 99 cashflow to creditors 100 -4724 interest paid -net new borrowings 101 (1385 -(35529-29420) 102 103 cash flow from assets =cash flow to creditors + cashflow to stockholders 104 105 -2015 =- 4724 + CASH FLOW TO STOCK HOLDERS] 106 107 cashflow to stock holders = 4724 - 2015 = 2709.00 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 GRO' .. O CURRENCY NPV OCF CASH FLOW STATW FCF ARM, MSI,confidencelNDEX LOAN CROSS OVER GM HPR AM TAX HEDGING MONEY MARKET