Help needed for business finance assignment due by tonight please. three questions
Complete the following assignment in an Excel document – use a new sheet in Excel for each question. Submit the complete document prior to the due date via Blackboard. Late submissions will be penalized by 20% per day. Part A: Calculating Operating Cash Flows and Net Working Capital 1. Create an Income Statement. Tally Corp has the following information for 2014: Sales - $235,000 Cost – $141,000 Other Expenses - $7,900 Depreciation Expense - $17,300 Interest Expense - $12,900 Taxes – $19,565 Dividends - $12,300 2014 New Equity - $6,100 Net New Long-term Debt - $(4,500) Change in Fixed Assets - $25,000 2. Answer the following questions: 1. What is the 2014 Operating Cash Flow? 2. What is the 2014 Cash Flow to Creditors? 3. What is the 2014 Cash Flow to Stockholders? 4. If Net Fixed Assets increased by $25,000 during the year what is the addition to NWC? Part B: Standardized Financial Statements and Ratios Tomson Corporation 2013 and 2014 Statement of Financial Position Assets Liabilities 2013 2014 2013 2014 Current Assets Current Liabilities Cash $ 8,436 $ 10,157 A/P $ 43,050 $ 46,821 A/R 21,530 23,406 Notes Payable 18,384 17,382 Inventory 38,760 42,650 Total $ 68,726 $ 76,213 Total $ 61,434 $ 64,203 Long-term Debt $ 25,000 $ 32,000 Owner’s Equity Common Stock & Paid-in Surplus $ 40,000 $ 40,000 Retained Earnings 168,998 188,316 Net Plant & Equip $ 226,706 $ 248,306 Total $ 208,998 $ 228,316 Total Assets $ 295,432 $ 324,519 Total Liabilities & Owners Equity $ 295,432 $ 324,519 1. Prepare: The 2014 combined common-size, common-base year statement of financial position for Tomson. Round your intermediate calculations to 2 decimal places and final answers to 4 decimal places. 2. Calculate: 1. The current ratio for each year 2. The quick ratio for each year 3. The cash ratio for each year 4. The NWC to total assets ratio for each year 5. The debt-equity ratio and the equity multiplier for each year 6. The total debt ratio and the long-term debt ratio for each year Round all answers to 2 decimal places. Part C: Pro Forma Statements and EFN Consider the following simplified financial statements for Turnbull Inc. – assuming no income taxes. The company has predicted a sales increase of 15 percent. Assume that Turnbull Inc. pays out half of its net income in the form of a cash dividend. Cost and assets vary with sales, but debt and equity do not. Balance Sheet Assets Liabilities Assets $ 25,300 Debt $ 5,800 Equity $ 19,500 Total $ 25,300 Total $ 25,300 Income Statement Sales $ 32,000 Costs 24,400 Net Income $ 7,600 Sales Increase 15% Payout rate 50% 1. Prepare the Pro Forma Statements for Turnbull Inc. 2. Determine the EFN