Problem

Calculating Total Cash Flows Schwert Corp. shows the following information on its 2010 inc...

Calculating Total Cash Flows Schwert Corp. shows the following information on its 2010 income statement: sales = $167,000; costs = $91,000; other expenses = $5,400; depreciation expense = $8,000; interest expense = $11,000; taxes = $18,060; divi­dends = $9,500. In addition, you’re told that the firm issued $7,250 in new equity during 2010 and redeemed $7,100 in outstanding long-term debt.

a.What is the 2010 operating cash flow?


b.What is the 2010 cash flow to creditors?


c.What is the 2010 cash flow to stockholders?


d.If net fixed assets increased by $22,400 during the year, what was the addition to net working capital (NWC)?

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