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Quarles Industries had the following operating results for 2015: sales = $27,360

ID: 2749756 • Letter: Q

Question

Quarles Industries had the following operating results for 2015: 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 2015 was 34 percent.

  

  

  

  

   

If no new debt was issued during the year, what is the cash flow to creditors? (Do not round intermediate calculations.)

  

  

If no new debt was issued during the year, what is the cash flow to stockholders? (Do not round intermediate calculations. Negative amount should be indicated by a minus sign.)

Quarles Industries had the following operating results for 2015: 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 2015 was 34 percent.

Explanation / Answer

Quarles Industries had the following operating results for 2015: sales = $27,360