Answer:
cash flow to stockholders = $39,700
Explanation:
Operating cash flow = $187,000
cash flow to creditors = $71,400
Net working capital = $28,000
Net capital spending = $47,900
Cash flow to stockholders = ?
CFF = operating cash flow - net working capital - net capital spending
CFF = $187,000 - $28,000 - $47,900 = $111,100
CFF = cash flow to creditors + cash flow to stockholders
cash flow to stockholders = CFF - cash flow to creditors
cash flow to stockholders = $111,100 - $71,400 = $39,700
Hence $39,700 is the amount of the cash flow to stockholders for the last year.
