12:36 × Individual Assignment.pdf Question 1 Consider the following financial information and answer the questions that follow: Sales Costs Depreciation Operating expenses Interest expenses Taxes 12 marks Dividends Addition to Retained Earnings Long term debt repaid New Equity issued New fixed assets acquired You are required to: i) ii) iii) iv) v) vi) Tax rate : $250,000 : $134,000 : $10,200 : $6,000 : $20,700 : $18,420 : $10,600 : $50,080 : $9,300 : $8,470 : $15,000 Calculate the operating cash flow Calculate the cash flow to creditors Calculate the cash flow to shareholders Calculate the cash flow from assets Calculate net capital spending Calculate change in NWC Question 2 8 marks The following financial information is available for Hero Sports Ltd.: Sales Costs Addition to retained earnings Dividends paid Interest expense : $45,000 : $25,000 : $5,500 : $900 : $1,450 : 40% Compute the depreciation expense. (2 marks) (2 marks) (2 marks) (2 marks) (2 marks) (2 marks) PREPARED BY THE CI, MGMT2023 2 Question 3 - 5 marks In response to customer complaints about rising prices of food items, a supermarket responds by making the following offer: For every $10 of purchase, the customers will earn $1 worth of coupons and this way they will end up making twice as much as the supermarket. If the supermarket makes $500 worth of total sales to all customers taken together, how much will it need to restrict its costs to so as to honour the offer? Question 4 - 5 marks Use the following information to answer the question that follow: Net Income Profit margin A/R Credit sales Compute the days' sales in receivables : $205,000 : 7.80% : $151,642 : 60% of total sales