Problem 3-7 Financial Statements (LO1)
Here are the 2015 and 2016 (incomplete) balance sheets forNewble Oil Corp.
| BALANCE SHEET AT END OF YEAR |
| (Figures in $ millions) |
| Assets | 2015 | 2016 | Liabilities and Shareholders' Equity | 2015 | 2016 |
| Current assets | $ | 326 | | $ | 500 | | Current liabilities | $ | 290 | | $ | 256 | |
| Net fixed assets | | 1,360 | | | 1,500 | | Long-term debt | | 910 | | | 1,080 | |
|
a&b. What was owners’ equity at the end of2015 and 2016? (Enter your answers inmillions.)
c. If Newble paid dividends of $180 million in2016 and made no stock issues, what must have been net incomeduring the year? (Enter your answer inmillions.)
d. If Newble purchased $380 million in fixedassets during 2016, what must have been the depreciation charge onthe income statement? (Enter your answer inmillions.)
e. What was the change in net working capitalbetween 2015 and 2016? (Enter your answer inmillions.)
f. If Newble issued $232 million of newlong-term debt, how much debt must have been paid off during theyear? (Enter your answer in millions.)
