Question

The 2017 balance sheet of Kerber’s Tennis Shop, Inc., showed $470,000 in the common stock account and $4.5 million in the additional paid-in surplus account. The 2018 balance sheet showed $510,000 and $4.8 million in the same two accounts, respectively. If the company paid out $420,000 in cash dividends during 2018, what was the cash flow to stockholders for the year? (Enter your answer in dollars, not millions of dollars, e.g., 1,234,567.)

Answer 1

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- 2x Σ AutoSum : A Fill 2 Clear Sort & Filter Editing Find & Select Cells ED EE E F EG NPV, IRR, PBP,OCFINDEX - Microsoft Excel (Product Activation Failed) File Home Insert Page Layout Formulas Data Review View Add-Ins % Cut Calibri 11 A A = = = V Wrap Text General Ea Copy Paste BI U D- DA Merge & Center - $ Format Painter % , :.: Formatting as Table Styles Clipboard Font Alignment Number Styles DZ166 DV DW DX DY DZ EA EB EC 158 159 160 cashflow to stockholders = dividends paid - net new equity 162 cashflow to stockholders = 420000 -(510000 + 4800000 -470000-4500000) 163 ANSWER cashflow to stockholders = 80000 164 165 166 167 161 168 169 170 171 172 173 174 175 176 O FCFARM, MSI,confidenceINDEX CURRENCY LOAN CROSS OVER HEDGING MONEY MARKET GM HPR AM TAX GROWTH SUST CF CASH FLOW STATW ferences Rea PREF AND DIV POLICY I 000 130% * 10 S E 0 + ENG 09-09-2019 O