What was the firm net capital spending

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Reference no: EM131949688

1. A firm reported Net Fixed Assets of $2,674,000 on its end-of-year 2014 balance sheet and Net Fixed Assets of $3,192,000 on its end-of-year 2015 balance sheet. If the depreciation expense of the firm's 2015 income statement was $520,000, what was the firm's net capital spending in 2015?

a. $518,000

b. $1,038,00

c. $2,468,000

d. $3,194,000

2. During 2016, Dazang Inc. had sales of $11,874,000. Cost of goods sold, administrative and general expenses, and depreciation expense were $4,620,000, $1,704,000, and $910,000 respectively. In addition, the company had interest expense of $540,000 and a tax rate of 34 percent. What is Dazang's operating cash flow?

a. $4,156,000

b. $2,760,900

c. $5,550,000

d. $3,127,500

Reference no: EM131949688

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