90.2K

Verified Solution

Link Copied!

Some recent financial statements for Earl Grey Golf Corp. follow.

EARL GREY GOLF CORP. 2017 and 2018 Statement of Financial Position
Assets									Liabilities and Owners Equity
	2017				2018					2017				2018
Current assets									Current liabilities
Cash	$	24,046			$	24,255			Accounts payable	$	23,184			$	27,420
Accounts receivable		12,448				15,235			Notes payable		12,000				10,800
Inventory		25,392				27,155			Other		11,571				15,553
Total	$	61,886			$	66,645			Total	$	46,755			$	53,773
									Long-term debt	$	80,000			$	95,000
Fixed assets									Owners equity
Net plant and equipment	$	324,695			$	365,734			Common stock and paid-in surplus	$	40,000			$	40,000
									Retained earnings		219,826				243,606
									Total	$	259,826			$	283,606
Total assets	$	386,581			$	432,379			Total liabilities and owners equity	$	386,581			$	432,379

EARL GREY GOLF CORP. 2018 Statement of Comprehensive Income
Sales					$	366,996
Cost of goods sold						253,122
Depreciation						32,220
Earnings before interest and taxes					$	81,654
Interest paid						14,300
Taxable income					$	67,354
Taxes (35%)						23,574
Net income					$	43,780
Dividends	$	20,000
Additions to retained earnings		23,780

Using the given information, calculate the operating cash flows (OCF), Cash flow to bondholders, cash flow to shareholders, and Cash flows from assets (CFFAs).

Answer & Explanation Solved by verified expert

See Answer