FCF 10th edition Case Solutions - Case Solutions Input boxes in tan Output boxes in yellow Given data in blue Calculations in red Answers in green NOTE

# FCF 10th edition Case Solutions - Case Solutions Input...

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Case Solution Input boxes in tan Output boxes in yellow Given data in blue Calculations in red Answers in green NOTE: Some functions used in these spreadsheets may requ the "Analysis ToolPak" or "Solver Add-in" be installed in Exc To install these, click on "Tools|Add-Ins" and select "Analysi and "Solver Add-In."
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Chapter 2 Cash Flows and Financial Statements at Sunset Boards Input area: 2010 2011 Cost of goods sold \$ 163,849 \$ 206,886 Cash 23,643 35,721 Depreciation 46,255 52,282 Interest expense 10,056 11,526 Selling & Administrative 32,223 42,058 Accounts payable 41,786 47,325 Net fixed assets 204,068 248,625 Sales 321,437 391,810 Accounts receivable 16,753 21,732 Notes payable 19,046 20,796 Long-term debt 103,006 116,334 Inventory 32,255 43,381 New equity - 20,500 Tax rate 20% Dividend percentage 50% Output area:
2010 Income Statement Sales \$ 321,437 Cost of goods sold 163,849 Selling & Administrative 32,223 Depreciation 46,255 EBIT \$ 79,110 Interest 10,056 EBT \$ 69,054 Taxes 13,811 Net income \$ 55,243 Dividends \$ 27,622 Addition to retained earnings \$ 27,622 2011 Income Statement Sales \$ 391,810 Cost of goods sold 206,886 Selling & Administrative 42,058 Depreciation 52,282 EBIT \$ 90,584 Interest 11,526 EBT \$ 79,058 Taxes 15,812 Net income \$ 63,246 Dividends \$ 31,623 Addition to retained earnings \$ 31,623
Balance sheet as of Dec. 31, 2010 Cash \$ 23,643 Accounts payable \$ 41,786 Accounts receivable 16,753 Notes payable 19,046 Inventory 32,255 Current liabilities \$ 60,832 Current assets \$ 72,651 Long-term debt \$ 103,006 Net fixed assets \$ 204,068 Owners' equity \$ 112,881 Total assets \$ 276,719 Total liab. & equity \$ 276,719 Balance sheet as of Dec. 31, 2011 Cash \$ 35,721 Accounts payable \$ 47,325 Accounts receivable 21,732 Notes payable 20,796 Inventory 43,381 Current liabilities \$ 68,121 Current assets \$ 100,834 Long-term debt \$ 116,334 Net fixed assets \$ 248,625 Owners' equity \$ 165,004 Total assets \$ 349,459 Total liab. & equity \$ 349,459 2010 2011 Operating cash flow \$ 111,554 \$ 127,054 Capital Spending Ending net fixed assets \$ 248,625
- Beginning net fixed assets 204,068 + Depreciation 52,282 Net capital spending \$ 96,839 Change in Net Working Capital Ending NWC \$ 32,713 -Beginning NWC 11,819 Change in NWC \$ 20,894 Cash Flow from Assets Operating cash flow \$ 127,054 - Net capital spending 96,839 -Change in NWC 20,894 Cash flow from assets \$ 9,321 Cash Flow to Creditors Interest paid \$ 11,526 -Net New Borrowing 13,328 Cash flow to Creditors \$ (1,802) Cash Flow to Stockholders Dividends paid \$ 31,623
-Net new equity raised 20,500 Cash flow to Stockholders \$ 11,123
Chapter 3 Ratios and Financial Planning at S&S Air Input area: Tax rate 40% Sales \$ 36,599,300 COGS 26,669,496 Other expenses 4,641,000 Depreciation 1,640,200 EBIT \$ 3,648,604 Interest 573,200 Taxable income \$ 3,075,404 Taxes (40%) 1,230,162 Net income \$ 1,845,242 Dividends \$ 560,000 Add to RE \$ 1,285,242 Assets Liabilities Current Assets Current Liabilities Cash \$ 396,900 Accounts Payable Accounts rec. 637,560 Notes Payable Inventory 933,400 Total CL Total CA \$ 1,967,860 Long-term debt Shareholder Equity Fixed assets Common stock Net PP&E \$ 15,411,620 Retained earnings Total Equity Total Assets \$ 17,379,480 Total L&E Output area: Current ratio 0.71 Quick ratio 0.37
Cash ratio 0.14 Total asset turnover 2.11 Inventory turnover 28.57 Receivables turnover 57.41 Total debt ratio 0.45 Debt-equity ratio 0.82 Equity multiplier 1.82 Times interest earned 6.37 Cash coverage ratio 9.23 Profit margin 5.04% Return on assets 10.62% Return on equity 19.31%
s & Equity \$ 844,550 1,928,500 \$ 2,773,050 \$ 5,050,000 \$ 322,500 9,233,930 \$ 9,556,430 \$ 17,379,480
Chapter 4 Planning for Growth at S&S Air Input area: Sales \$ 36,599,300 COGS 26,669,496 Other expenses 4,641,000 Depreciation 1,640,200 EBIT \$ 3,648,604 Interest 573,200 Taxable income \$ 3,075,404 Taxes (40%) 1,230,162 Net income \$ 1,845,242 Dividends \$ 560,000 Add to RE \$ 1,285,242 Assets Liabilities & E Current Assets