For the past year, LP Gas, Inc. had cash flow from assets of $38,100 of which $21,500 flowed to the firm's stockholders. The interest paid was $2,300. What is the amount of the net new borrowing? a. -$14,300 b. -$9,700 c. $12,300 d. $14,300 e. $18,900

For the past year, LP Gas, Inc. had cash flow from assets of $38,100 of which $21,500 flowed to the firm's stockholders. The interest paid was $2,300. What is the amount of the net new borrowing? a. -$14,300 b. -$9,700 c. $12,300 d. $14,300 e. $18,900

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

Problem 2P: Vigo Vacations has $200 million in total assets, $5 million in notes payable, and $25 million in...

See similar textbooks

Related questions

Q: On January 1, Year 1, Wayne Company issued bonds with a face value of $600,000, a 6% stated rate of…

A: When bonds are issued, they are either sold at face value, a premium, or a discount, depending on…

Q: Explain

A: Explanation of Guides Preparation of Financial Statements: The conceptual framework provides a clear…

Q: Please provide answer this accounting question do fast and step by step calculation

A: Step 1: Define High Low MethodThe High-low method is used to break the mixed cost into its…

Q: Provide me answer

A: Explanation of Beginning Inventory: Beginning inventory refers to the units of product that were…

Q: Please Provide Answer

A: The cash flows to creditors represent the net payments to creditors during the years. It is computed…

Q: Dsnfy is a single taxpayer. She has 29,000 student loan, she paid 308 rach month with 121 of that…

A: Steps to calculate the deduction:Total interest paid: Danfy paid $1,452 in student loan interest for…

Q: Alvarado Company had the following common stock balances and transactions during the current year:…

A: Step 1: January 1 to February 28 (59 days):60,000 shares outstandingStep 2: March 1 to April 30 (60…

Q: Accounting Problem 2.5

A: Explanation of Face Value:Face Value, also known as par value, is the principal amount of a bond…

Q: Windsor Corporation recorded a right-of-use asset for $240,300 as a result of a finance lease on…

A: Explanation: In the given case, there was a finance lease of $240,300 on Dec 31, 2024 due to which…

Q: Answer this problem

A: Explanation of Overhead Costs: Overhead costs are all manufacturing costs except direct materials…

Q: 65

A: Explanation of Cost of Goods Manufactured (COGM):COGM refers to the total production costs incurred…

Q: Ivanhoe Corp. sold property in exchange for a six-year note that has a maturity value of $34,615 and…

A: Here's a detailed explanation for each part of the journal entry:Notes Receivable (Debit):Amount:…

Q: Need answer

A: Step 1: Define Accepting Special OrderIn accepting special orders, the company must consider if…

Q: Financial Accounting

A: Step 1: Define InventoryInventory is described as one of the company's current assets. It is a…

Q: Solve this accounting question

A: 1.PV of loan = PMT × [1 - (1 + r)-n]/rWhere:Present value (PV) = ?Periodic payment (PMT) =…

Q: ha.5

A: Step 1:In the periodic Inventory method inventory account is not updated at each purchase or sale…

Q: Balance required in allowance for expected credit losses account

A: Explanation: The balance required in allowance for expected credit losses account can be calculated…

Q: Need answer

A: Step 1: Define Manufacturing CostManufacturing Cost includes all the costs used in making a product.…

Q: ווח M Question 11 - Week 11 - Homework #7 (100 points) - Connect Week 11 - Homework #7 (100 points)…

A: Step 1: Days covered December 27, 2024 to December 31, 2024 = 5 days5 days out of 14 days Step 2:…

Q: Give answer the accounting question

A: Step 1:- Introduction to the P/E RatioThe P/E ratio is one of the most important ratios used for…

Q: nkt

A: Step 1: Calculate Total IncomeThe Comers' income includes salaries and capital gains/losses.Salary…

Q: n

A: The fee charged on the income earned by a business or individual is known as income tax. Net income…

Q: for both answer want

A: Given data, The inventory value at the beginning of 2013 = $110,000.The amount of inventory…

Q: Prblm

A: Explanation of Land Account: The land account in a company's balance sheet represents the cost of…

Q: Crane Sawmill Co. runs rough logs through its cutting facility for the primary purpose of producing…

A: Step 1: Calculate total revenue for each product type at split-offHardwood Lumber = 94,000 board…

Q: Presented below is information from Crane Computers Incorporated. July 1 Sold $14,800 of computers…

A: Step 1: July 1: Sale to Cheyenne CompanyCrane sold $14,800 of computers to Cheyenne Company with…

Q: Sub: Accounting Required: correct answer

A: Explanation of Net Profit Margin: The net profit margin measures a company's profitability relative…

Q: Ash Merchandising Company expects to purchase $86,000 of materials in July and $118,000 of materials…

A: Explanation of Materials Purchases: Materials purchases refer to the acquisition of raw materials or…

Q: Give true answer the accounting question

A: Step 1:- Introduction to the Variable CostingUnder variable costing, the fixed manufacturing…

Q: Need help with this accounting question

A: Step 1: Define Price-Earnings RatioPrice-earnings ratio, commonly known as the P/E ratio, is a…

Q: General

A: Now, calculate the EOQ:EOQ=102×1200×100EOQ=10240000EOQ=24000EOQ≈154.92So, the Economic Order…

Q: Give answer to me

A: Working capital is the difference between a company's current assets and current liabilities. It is…

Q: Hello tutor please need answer this accounting question

A: Step 1: Define AssetAn asset is a type of wealth or capital possessed or bought by a person or…

Q: Please correct and fillout what needs to be completed for this problem

A: Step 1:The balance sheet of Carlton Soup Company is prepared as follows: Formula table: Result of…

Q: Need Solution

A: To answer this question, let's go through each option to see which one best describes gains on the…

Q: I need do fast typing clear urjent no chatgpt used i will give 5 upvotes pls full explain with…

A: Step 1: Step 2:Newton's 2nd law of motion states thatM=Iαwhere : I is the moment of inertia of the…

Q: Right Answer only

A: Explanation of Lower of Cost or Net Realizable Value (LCNRV): LCNRV is a fundamental accounting rule…

Q: On July 1, 2023, Shamrock Inc. made two sales:1It sold excess land in exchange for a four-year,…

A: 1. First Sale - Land for 4-year non-interest-bearing note:- Face amount: $1,079,350- Present value…

Q: Ocf

A: Explanation of Net Income: Net income is the total revenue minus the total expenses of a company for…

Q: Solve these general accounting question

A: Step 1: Define Cost, Profit and RevenueThe cost of any product is the money spent in producing the…

Q: Use the high-low method to develop a cost-estimating equation for total manufacturing costs driven…

A: Here's a step-by-step outline to solve for the cost-estimating equation Y=b+mX, where:Y represents…

Q: Concord Company lends Ivanhoe Company $10700 on April 1, accepting a four-month, 12% interest note.…

A: Step 1: Calculate the total interest revenue to be earned for 4 months.= principal x interest rate x…

Q: Business 123 Introduction to InvestmentsMay an expert please find at least 5 domestic stock mutual…

A: I looked for domestic stock mutual funds with a solid track record in large-cap and growth-oriented…

Q: None

A: Given Information:Investment at the beginning (January 1): 44,000 randNet income throughout the…

Q: Surveys of employee satisfaction is a potential measure of the Select one: a.Customer…

A: Explanation of the AnswerEmployee satisfaction surveys are a measure of the Learning and Growth…

Q: solve this problems

A: ExplanationStep 1: Define gross profit rate:The gross profit rate (or gross profit margin) is the…

Q: Financial Accounting 3.7

A: Explanation of Deferred Tax Liability: A deferred tax liability represents future tax payments that…

Q: Question 5 Melissa has $90,000 in salary from her full-time position and $40,000 in net income in…

A: Melissa's self-employment income = $40,000 net income from consulting. full-time salary of $90,000…

Q: Blank

A: Explanation of Accounting Performance: Accounting performance refers to the measurement of a…

Q: unc

A: Approach to solving the question: The following items are the costs applicable to be capitalized in…

Question

For the past year, LP Gas, Inc.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

14. Suppose that you have generated the estimates listed below from a pro forma analysis for a company that had requested a three year loan. The loan is a $1.5 million term loan with the equal annual payments of principals. The P&I payments are due at the end of each year with the annual interest rate = Prime rate + 1.5%. Capital expenditure Cash dividends Cash flow from operations before interest expense a). b). c). Yr.1 250,000 140,000 750,000 Assuming the Prime rate = 7.5% each year. What will be the interest payment at year 3? 25,000 50,000 45,000 53,000 10,000 Yr. 2 125,000 140,000 780,000 Yr. 3 75,000 140,000 800,000
During the most current year, XYZ Corp paid $55,240 in interest and $80,400 in dividends. In order to fund a large expansion, the company also raised $297,000 in new equity and borrowed &197000 via the bond market, though a portion of the new borrowing was used to pay back $174,000 in bonds that were maturing this year. Calculate the cash flow to Shareholders.
Suppose that you have generated the estimates listed below from a pro forma analysis for a company that had requested a three year loan. The loan is a $1.5 million term loan with the equal annual payments of principals. The P&I payments are due at the end of each year with the annual interest rate = Prime rate + 1.5%. Yr.1 Yr. 2 Yr. 3 Capital expenditure 250,000 125,000 75,000 Cash dividends 140,000 140,000 140,000 Cash flow from operations before interest expense 750,000 780,000 800,000 Assuming the Prime rate = 7.5% each year. What will be the interest payment at year 3? a). 25,000 b). 50,000 c). 45,000 d). 53,000 e). 10,000
The following information has been taken from the income statement and statement of financial position of A Co: Revenue $350m Production expenses $210m Administrative expenses $24m Tax allowable depreciation $31m Capital investment in year $48m Corporate debt $14m trading at 130% Corporate tax is 30% The WACC is 16.6%. Inflation is 6%. These cash flows are expected to continue every year for the foreseeable future. Required: 1. Calculate the value of equity. 2. Critically discuss the Advantages and disadvantages of Discounted Cash Flow Basis Method.
The First National Bank of Trinidad reports a net interest margin of 5.83 percent. It has total interestrevenues of $275 million and total interest expenses of $210 million. This bank has earnings assetsof $1,115. Suppose this bank's interest revenues rise by 8 percent and its interest expenses andearnings assets rise by 10 percent what is this bank's new net interest margin?A. 5.83 percentB. 7.09 percentC. 3.59 percentD. 5.38 percent
Bank Three has equity = $250 million, return on equity (ROE) = 15%, interest expense = $105 million, provision for loans (P) = $30 million, noninterest income = $45 million, noninterest expense = $20 million and a tax rate = : 34%. What is the total interest income required? A. $216.82 million. B. $236.82 million. C. $146.82 million. D. $166.82 million.
A company issues $1.1 million of new stock and pays $201,000 in cash dividends during the year. In addition, the company took advantage of falling interest rates to borrow $1.51 million in a new bond issue and paid off existing bonds with a face value of $2.05 million. The company bought 501 of another company's $1,010 bonds at a $101,000 premium. The net cash flow provided by financing activities is: A) An outflow of $201,000. B) An inflow of $359,000. C) An inflow of $540,000. D) An outflow of $101,000
A company issues $1.1 million of new stock and pays $201,000 in cash dividends during the year. In addition, the company took advantage of falling interest rates to borrow $1.51 million in a new bond issue and paid off existing bonds with a face value of $2.05 million. The company bought 501 of another company's $1,010 bonds at a $101,000 premium. The net cash flow provided by financing activities is: A) An outflow of $201,000. B) An inflow of $359,000. C) An inflow of $540,000. D) An outflow of $101,000 G
BestBatteries, Inc just published this Balance Sheet. All dollar amounts are in millions of dollars. Assets Cash 2.5 AR 2.5 Long Term Assets 10.0 Liabilities Accounts Payable 5.0 Loan, repayment due in 3 months, IRR = 7% 3.0 Bond maturing in 10 years, IRR = 10% 2.0 Equity 5.0 What is the company's weighted average, pre-tax cost of debt capital, rD, pre-tax? If not enough information is provided to solve this problem, answer 0.0 (zero).
Davis Corporation expects the following transactions in 20X3. Their first year of operations: 21. Sales (90% collectible in 20X3) Bad debt write-offs... Disbursements of costs and expenses Disbursements for income taxes. Purchases of fixed assets... Proceeds from issuance of ordinary shares.... Proceeds from short-term borrowings Payments on short-term borrowings. Depreciation on fixed assets P1,500,000 60,000 1,200,000 90,000 400,000 580,000 100,000 50,000 80,000 What is the cash balance at December 31, 20X3? P150,000 b. P170,000 a. c. P210,000 d. P280,000
A firm paid interest of $40 this year. Last year, they had $500 in debt. This year, they had $300 in debt. What was their CF to creditors? Hint: CF to creditors = interest paid - net borrowing Net borrowing = debt this year - debt last year
typing only