Consider the following abbreviated financial statements for Parrothead Enterprises: Parrothead Enterprises 2017 and 2018 Partial Balance Sheet Assets Liabilities & Owners Equity 2017 2018 2017 2018 Current...

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Finance

Consider the following abbreviated financial statements forParrothead Enterprises:

ParrotheadEnterprises
2017 and 2018 PartialBalance Sheet
Assets Liabilities& Owners Equity
2017201820172018
Current assets$1230$1339Current liabilities$510$565
Net fixed assets$5001$6032Long-term debt$2672$2843
Parrothead Enterprises
2018 Income Statement
Sales15490
Costs7171
Depreciation1387
Interest paid404
a.What is owners' equity for 2017 and 2018? (Do not roundintermediate calculations.)
b.What is the change in net working capital for 2018? (Donot round intermediate calculations.)
c-1.In 2018, Parrothead Enterprises purchased $2,544 in new fixedassets. How much in fixed assets did Parrothead Enterprises sell?(Do not round intermediate calculations.)
c-2.In 2018, Parrothead Enterprises purchased $2,544 in new fixedassets. What is the cash flow from assets for the year? The taxrate is 24 percent. (Do not round intermediatecalculations.)
d-1.During 2018, Parrothead Enterprises raised $524 in newlong-term debt. How much long-term debt must Parrothead Enterpriseshave paid off during the year? (Do not round intermediatecalculations.)
d-2.During 2018, Parrothead Enterprises raised $524 in newlong-term debt. What is the cash flow to creditors? (Do notround intermediate calculations.)
aOwners' equity 2017
Owners' equity 2018
bChange in NWC
c-1Fixed assets sold
c-2Cash flow from assets
d-1Debt retired
d-2Cash flow to creditors

Answer & Explanation Solved by verified expert
3.8 Ratings (474 Votes)
a Owners Equity 2017 3049 Owners Equity 2018 3963 b Change in NWC 54 c1 Fixed assets sold 126 c2 Cash flow from assets 4280 d1 Debt retired 353 d2 Cash flow to creditors 233    See Answer
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