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Problem 1: In June, Kipper Ltd. received a $6000 cash payment for work billed the previous month, The company replanted a clear-cut area of northern Alberta for which it send out an invoice for $25000. At the beginning of the month the company had $2,000 of tress for planting, During the month the company purchased $4000more, and at the end of the month it was left with trees that had cost $1,000. The company's expenses were $1000 in rent for its office and $3000 in other expenses. Amortization on the truck and office equipment was calculated to be $500. The income tax rate is 10%. The gross profit as a % of sale for the month of june was
Financial Statement Analysis and Preparation
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Computation of Free Cash Flow
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