During 2019, Maverick Inc. had sales of $733,000. Cost of goods sold, administrative and seling...

60.1K

Verified Solution

Question

Accounting

image
During 2019, Maverick Inc. had sales of $733,000. Cost of goods sold, administrative and seling expenses, and depreciation expenses were $563,000, $96,000, and $130,000, respectively. In addition, the company had an interest expense of $97,000 and a tax rate of 40 percent. (Ignore any tax loss carryback or carryforward provisions.) Assume Maverick Inc. paid out $19,000 in cash dividends. If spending on net fixed assets and net working capital was zero, and if no new stock was issued during the year, what is the firm's net new long-term debt? Multiple Choice $21,500 $93,000 $74,450 $0 $42.000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students