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ioda
4 years ago
7

The December 31, 2018, balance sheet of Whelan, Inc., showed long-term debt of $1,435,000, $147,000 in the common stock account,

and $2,720,000 in the additional paid-in surplus account. The December 31, 2019, balance sheet showed long-term debt of $1,650,000, $157,000 in the common stock account and $3,020,000 in the additional paid-in surplus account. The 2019 income statement showed an interest expense of $97,500 and the company paid out $152,000 in cash dividends during 2019. The firm’s net capital spending for 2019 was $1,030,000, and the firm reduced its net working capital investment by $132,000. What was the firm's 2019 operating cash flow, or OCF?
Business
1 answer:
vlabodo [156]4 years ago
5 0

Answer:

$34,500

Explanation:

Whelan, Inc.

2019 Operating Cash Flow

<u>Details                                                                       Amount ($)</u>

Interest expense paid                                                (97,500)

Decrease in net working capital investment           <u> 132,000 </u>

Net operating cash flow                                          <u>  34,500 </u>

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