94%(50)47 out of 50 people found this document helpful
This preview shows page 1 - 4 out of 23 pages.
ItemChange($)ItemChange ($)Cash100 Accounts Receivable-700Accounts Payable-1,000 Net Profits600Notes Payable500 Depreciation100Long-term Debt-2,000 Repurchase of Stock600Inventory200 Cash Dividends800Fixed Assets400 Sale of Stock1,000ItemChange($)Inflow / OutflowActivityCash100 InflowIncrease in Net cashAccounts Payable-1,000 OutflowOperatingNotes Payable500 InflowFinancingLong-term Debt-2,000 OutflowFinancingInventory200 OutflowOperatingFixed Assets400 OutflowInvestingAccounts Receivable-700 InflowOperatingNet Profits600 InflowOperatingDepreciation100 Neither inflow / outflowOperatingRepurchase of Stock600 OutflowFinancingCash Dividends800 OutflowFinancingSale of Stock1,000 InflowFinancingClassifying inflows and outflows of cash Classify each of the following items as aninflow (I) or an outflow (O) of cash, or as neither (N).
Keith Corporation Balance Sheets31-DecAssets20152014Cash $1,500 $1,000 Marketable Securities1,8001,200Accounts Receivable2,0001,800Inventories2,9002,800Total Current Assets$8,200 $6,800 Gross Fixed Asstes$29,500 $28,100 Less: Accumulated Depreciation14,70013,100Net Fixed Assets$14,800 $15,000 Total Assets$23,000 $21,800 Liabilities and Stockholders' EquityAccounts Payable$1,600 $1,500 Notes Payable2,8002,200Accruals200300Total Current Liabilities$4,600 $4,000 Long-term Debt5,0005,000Total Liabilities$9,600 $9,000 Common Stock$10,000 $10,000 Retained Earnings3,4002,800Total Stockholders' Equity$13,400 $12,800 Total Liabilities and Stockholders' Equity$23,000 $21,800 P4–6 Finding operating and free cash flows Consider the following balance sheets and selecta. Calculate the firm’s net operating profit after taxes (NOPAT) for the year ended December b. Calculate the firm’s operating cash flow (OCF) for the year ended December 31, 2015, usiselected data from the income statement of Keith Corporation.