Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Net capital spending 61. At the beginning of the year, a firm had current assets of $121,306 and current liabilities of $124,509. At the end of the year, the current assets were $122,418 and the current liabilities were $103,718. What is the change in net working capital? Change in net working capital = ($122,418 - $103,718) - ($121,306 - $124,509) = $21,903 Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Change in net working capital 62. At the beginning of the year, the long-term debt of a firm was $72,918 and total debt was $138,407. At the end of the year, long-term debt was $68,219 and total debt was $145,838. The interest paid was $6,430. What is the amount of the cash flow to creditors? Cash flow to creditors = $6,430 - ($68,219 - $72,918) = $11,129 Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Cash flow to creditors
Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Net capital spending 61. At the beginning of the year, a firm had current assets of $121,306 and current liabilities of $124,509. At the end of the year, the current assets were $122,418 and the current liabilities were $103,718. What is the change in net working capital? Change in net working capital = ($122,418 - $103,718) - ($121,306 - $124,509) = $21,903 Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Change in net working capital 62. At the beginning of the year, the long-term debt of a firm was $72,918 and total debt was $138,407. At the end of the year, long-term debt was $68,219 and total debt was $145,838. The interest paid was $6,430. What is the amount of the cash flow to creditors? Cash flow to creditors = $6,430 - ($68,219 - $72,918) = $11,129 Analytic Blooms: Apply Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Cash flow to creditors
Test%20Bank%20for%20Fundamentals%20of%20Corporate%20Finance%2010th%20Edition%20Ross,%20Westerfield.docx