Gamers Inc. has the following information on its 2018 statement of comprehensive income: sales = $238,000; costs = $143.000; other expenses = $8,100; depreciation expense = $17,500; interest expense = $13,100; taxes = $19,355; dividends = $12,500. In addition, you're told that the firm issued $6,200 in new equity during 2018 and redeemed $4,700 in outstanding long-term debt. a. What is the 2018 operating cash flow? (Omit $ sign in your response.) $ Operating cash flow b. What is the 2018 cash flow to creditors? (Omit $ sign in your response.) Cash flow to creditors $ c. What is the 2018 cash flow to shareholders? (Omit $ sign in your response.) $ Cash flow to shareholders d. If net fixed assets increased by $25,200 during the year, what was the addition to NWC? (Omit $ sign in your response.) Addition to NWC $ Cabot Trail Resorts Inc. had the following operating results for 2018: sales $27,360; cost of goods sold = $19,260; depreciation expense = $4,860; interest expense = $2,190; dividends paid = $1,560. At the beginning of the year, net fixed assets were $16,380. current assets were $5,760, and current liabilities were $3,240. At the end of the year, net fixed assets were $20,160, current assets were $7,116, and current liabilities were $3,780. The tax rate for 2018 was 34 %. a. What is net income for 2018? (Negative answers should be indicated by a minus sign. Omit $ sign in your response.) Net income $ 2 b. What is the operating cash flow for 2018? (Negative answers should be indicated by a minus sign. Omit $ sign in your response.) Operating cash flow $ c. What is the cash flow from assets for 2018? (Negative answer should be indicated by a minus sign. Omit $ sign in your response.) Cash flow from assets $ d. If no new debt was issued during the year, what is the cash flow to creditors? What is the cash flow to shareholders? (Negative answers should be indicated by a minus sign. Omit $ sign in your response.) $ Cash flow to creditors Cash flow to shareholders $ The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following summarized data: 2017 2016 Income Statement Sales Revenue Cost of Goods Sold $121,000 $110,000 56,400 52,400 Gross Profit Operating Expenses Interest Expense 64,600 39,300 3,900 57,600 36,300 3,900 Income before Income Tax Expense Income Tax Expense (30%) 21,400 6,420 17,400 5, 220 $ 14,980 $ 12,180 Net Income Balance Sheet Cash Accounts Receivable, Net Inventory Property and equipment, Net $ 48,428 $ 13,030 36,000 37,500 30,500 37,000 93,000 103,000 $207,928 $190,530 Total Assets Accounts Payable Income Tax Payable Note Payable, Long-Term $ 42,558 $ 34,140 990 490 39,000 39,000 Total Liabilities Contributed Capital (8,950 shares) Retained Earningst 82,548 89,500 35,880 73,630 89,500 27,400 $207,928 $190,530 Total Liabilities and Shareholders' Equity One-half of all sales are on credit. touring 2017, cash dividends amounting to $6,500 were declared and paid. Required: 1-a. Compute the net profit margin for 2017 and 2016. (Round your answers to 1 decimal place.) Required: 1-a. Compute the net profit margin for 2017 and 2016. (Round your answers to 1 decimal place.) Net Profit Margin % 2017 2016 % 1-b. Is the trend going in the right direction? O Yes O No 2-a. Compute the earnings per share for 2017 and 2016. (Round your answers to 2 decimal places.) Earnings per Share 2017 2016 2-b. Does the trend look good or bad? Good O Bad 3-a. Compute the debt-to-assets ratios for 2017 and 2016. (Round your answers to 2 decimal places.) Debt-to- Assets 2017 2016 3-b. Is debt providing financing for a larger or smaller proportion of the company's asset growth? O Larger proportion O Smaller proportion 4-a. Compute the times interest earned ratios for 2017 and 2016. (Round your answers to 1 decimal place.) Times Interest Earned 2017 times 2016 times 4-b. Does the outcome of ratio in 2017 appears to be good or bad for the company? Bad O Good 5-a. After Pinnacle Plus released its 2017 financial statements, the company's shares were trading at $31.80. After the release of its 2016 financial statements, the company's share price was $26.30 per share. Compute the P/E ratios for both years. (Round intermediate calculations to 2 decimal places and final answers to 1 decimal place.) Pricel Earnings 2017 2016 5-b. Does it appear that investors have become more (or less) optimistic about Pinnacle's future success? O Less optimistic O More optimistic bled: Test LW2022 i Saveu Help Save & Exit S Stockton Co. prepared its income statement containing the information below. Using vertical analysis, what percentages would apply to cost of sales, gross profit, and interest expense, respectively? Net Sales Revenue Cost of Sales Gross Profit Operating and other Expenses Interest Expense Income Tax Expense $655,000 440,000 215,000 91,500 35,500 37,000 $ 51,000 Net Income A) B) C) D) Cost of Sales 72.8% 50.6% 100.0% 67.2% Gross Profit 100.0% 62.3% 48.9% 32.8% Interest Expense 17.2% 40.7% 8.4% 5.4% True North Inc. has a profit margin of 8.70%, total asset turnover of 1.90, and ROE of 18.64%. What is this firm's debt-equity ratio? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Debt-equity ratio Holidaze Rinks Inc. 2018 Statement of comprehensive income ($ in millions) Sales $10,850 Costs of goods sold $8,410 $190 Depreciation EBIT $2,250 Interest $165 EBT $2,085 Taxes $710 Net income $1,375 Dividends paid $300 Addition to retained earnings $1,075 5:51 Holidaze Rinks Inc. Statement of financial position Years ended 2017 and 2018 ($ in millions) 2017 2018 2017 Cash Accounts rec. Inventory Total $980 $950 $2,120 $5,050 $1,700 2018 $960 Accounts payable $880 Notes payable $1,750 Total $3,590 Long-term debt $2,540 Common stock Retained earnings $6,130 Total liabilities and Owner's equity $950 $730 $40 $150 $990 $880 $2,225 $100 $2,030 $3,570 $505 $1,580 $5,750 $6,130 Fixed assets Total assets $5,750 The component values used in the Du Pont analysis for 2018 are: Multiple Choice