Reference no: EM133073579

Question - Given the following balance sheets for Silver Birch Sports answer the next five questions. Net income for the year 20X5 was $7 million. It paid out $5 million in dividends. All numbers are in millions.

Silver Birch Sports Shop December 31 Balance Sheets ($ in millions)
	20X4	20X5
Cash	$8	$13
Accounts Receivable	31	38
Inventory	21	25
Total Current Assets	$60	$76
Gross Plant and Equipment	$147	$185
Less Depreciation	40	50
Net Plant and Equipment	107	$120
Total Assets	$167	$196
Accounts Payable	$12	15
Accrued Wages and Taxes	3	8
	$15	$23
Long Term Debt	64	73
Common Stock	15	40
Retained Earnings	73	75
Total Liabilities and Equity	$167	$196

Required -

1. What is Silver Birch's cash flow from operations?

2. What is Silver Birch's cash flow from investing activities?

3. What is Silver Birch's cash flow from financing activities?

4. What is Silver Birch's net cash flow?

5. What is Silver Birch's return on equity?