FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Ef 508.

Talent Search Inc's income statement for the year ended December 31, 2025 showed:
Sales $477,247
Depreciation expense $18,450
Costs $293,826
Other expenses $28,416
Taxes $34,186
Interest expense $4,813
The company also paid dividends of $40,271. It also issued $27,500 in new equity and repaid $24,500 in outstanding long-term debt
early. If net fixed assets increased by $21,984 during the year, what was the addition to net working capital?
A. $14,600
B. $17,900
C. $21,129
D. $28,010
E. $38,301
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Transcribed Image Text:Talent Search Inc's income statement for the year ended December 31, 2025 showed: Sales $477,247 Depreciation expense $18,450 Costs $293,826 Other expenses $28,416 Taxes $34,186 Interest expense $4,813 The company also paid dividends of $40,271. It also issued $27,500 in new equity and repaid $24,500 in outstanding long-term debt early. If net fixed assets increased by $21,984 during the year, what was the addition to net working capital? A. $14,600 B. $17,900 C. $21,129 D. $28,010 E. $38,301
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