Finding operating and free cash flow In April 2020, Nike filed with the S.E.C. its quarterly 10-Q, which revealed that the company earned NOPAT of $1.82 billion that quarter with depreciation expense of $0.92 billion. Nike's financial statements also showed the following Assume a tax rate of 21%. a. What was Nike's operating cash flow (OCF)? b. What was Nike's net fixed asset investment (NFAI)? c. What was Nike's net current asset investment (NCAI)? d. What was Nike's free cash flow (FCF)? a. Nike's operating cash flow (OCF) was $ billion. (Round to two decimal places.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.) February 2020 $16.47 billion November 2019 $16.09 billion $7.98 billion $8.15 billion $4.63 billion $4.88 billion Current Assets Payables and Accruals Net fixed assets Print Done - X

Finding operating and free cash flow In April 2020, Nike filed with the S.E.C. its quarterly 10-Q, which revealed that the company earned NOPAT of $1.82 billion that quarter with depreciation expense of $0.92 billion. Nike's financial statements also showed the following Assume a tax rate of 21%. a. What was Nike's operating cash flow (OCF)? b. What was Nike's net fixed asset investment (NFAI)? c. What was Nike's net current asset investment (NCAI)? d. What was Nike's free cash flow (FCF)? a. Nike's operating cash flow (OCF) was $ billion. (Round to two decimal places.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.) February 2020 $16.47 billion November 2019 $16.09 billion $7.98 billion $8.15 billion $4.63 billion $4.88 billion Current Assets Payables and Accruals Net fixed assets Print Done - X

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)

10th Edition

ISBN:9781337902571

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter3: Financial Statements, Cash Flow, And Taxes

Section: Chapter Questions

Problem 12P

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AFN EQUATION Refer to Problem 16-1 and assume that the company had 3 million in assets at the end of 2019. However, now assume that the company pays no dividends. Under these assumptions, what additional funds would be needed for the coming year? Why is this AFN different from the one you found in Problem 16-1?
Recording Various Liabilities Glenview Hardware had the following transactions that produced liabilities during 2020: a. Purchased merchandise on credit for $30,000. ( Note: Assume a periodic inventory system.) b. Year-end wages of $10,000 were incurred, but not paid. Related federal income taxes of $1,200, Social Security of $620 (employee portion), and Medicare taxes of $145 were with-held from employees. c. Year-end estimated income taxes payable, but unpaid, for the year were $42,850. d. Sold merchandise on account for $1,262, including state sales taxes of S48. ( Note: Assume a periodic inventory system.) e. Employers share of Social Security and Medicare taxes for the period were $620 and $145, respectively. f. Borrowed cash under a 90-day, 9%, $25,000 note. Required: Prepare the entry to record each of these transactions (treat each transaction independently).
Determining Cash Flows from Investing Activities Burns Companys 2019 and 2018 balance sheets presented the following data for equipment: During 2019, equipment costing $41,000 with accumulated depreciation of $36,700 was sold for cash, producing a $3,200 gain. Required: 1. Calculate the amount of depreciation expense for 2019. 2. Calculate the amount of cash spent for equipment during 2019. 3. Calculate the amount that should be included as a cash inflow from the disposal of equipment.
Partially Completed Spreadsheet Hanks Company has prepared the following changes in account balances for the spreadsheet to support its 2019 statement of cash flows: Additional information: The net income was 1,300. Depreciation expense was 350, and patent amortization expense was 100. At the end of 2019, long-term investments were purchased at a cost of 1,550. Land that cost 700 was sold for 900. On December 31, 2019, bonds payable with a face value of 2,000 were issued for equipment valued at 2,300. Two hundred shares of common stock were issued at 7 per share. Forty shares of common stock were issued as a small stock dividend, the relevant market price being 5 per share. Cash dividends declared and paid totaled 600. Required: On the basis of the preceding information, complete the spreadsheet.
Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Refer to the information for Juroe Company on the previous page. Also, assume that Juroes total assets at the beginning of last year equaled 17,350,000 and that the tax rate applicable to Juroe is 40%. Required: Note: Round answers to two decimal places. 1. Calculate the average total assets. 2. Calculate the return on assets.