Maurice Tutor

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Category > Accounting Posted 12 Jul 2017 My Price 11.00

Parrothead Enterprises

22.        Calculating Cash Flows   Consider the following abbreviated financial statements for Parrothead Enterprises:

 

 

Text Box: PARROTHEAD ENTERPRISES 2010 and 2011 Partial Balance Sheets Assets 2010	 2011	Liabilities and Owners’ Equity 2010	2011 Current assets	$  914	$  990	Current liabilities	$  365	$  410 Net fixed assets	3,767	4,536	Long-term debt	1,991	2,117         

 

 

a.   What is owners’ equity for 2010 and 2011?

b.   What is the change in net working capital for 2011?

c.    In 2011, Parrothead Enterprises purchased $1,890 in new fixed assets. How much in fixed assets did Parrothead Enterprises sell? What is the cash flow from assets for the year? (The tax rate is 35 percent.)

d.   During 2011, Parrothead Enterprises raised $378 in new long-term debt. How much long-term debt must Parrothead Enterprises have paid off during the year? What is the cash flow to creditors?

Answers

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Status NEW Posted 12 Jul 2017 08:07 AM My Price 11.00

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