Reference no: EM133184690
Questions -
Q1. If Reid company earned $500,000 in net income, spent $100,000 in cost of goods sold, had $55,000 of general and administrative expenses, $45,000 in interest expense, $30,000 in depreciation expenses, and $50,000 in taxes, what was the company's sales revenue? (with formula/calculation please so i can understand)
Q2. If Raines company earned $280,000 in net income, and paid cash dividends of $40,000, what are Raines's earnings per share if it has 80,000 shares outstanding?
Q3. Why might one firm have positive cash flows and be headed for financial trouble, whereas another firm with negative cash flows could actually be in good financial position?
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