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During 2014, Raines Umbrella Corp. had sales of $780,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $610,000, $85,000, and $115,000, respectively. In addition, the company had an interest expense of $54,000 and a tax rate of 35 percent. (Ignore any tax loss carryback or carryforward provisions.)
a. What is Raines’s net income for 2014? (Do not round intermediate calculations. Input the amount as a positive value.)
b. What is the company's operating cash flow? (Do not round intermediate calculations.)
Suppose you bought 250 shares of stock at an initial price of $48 per share. The stock paid a dividend of $.48 per share during the following year, and the share price at the end of the year was $51. Compute your total dollar return on this investmen..
Issue new stock, then use some of the proceeds to purchase additional inventory and hold the remainder as cash.
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