What is amount of the cash flow to creditors

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1. A firm has beginning retained earnings of $143,000 and ending retained earnings of $191,500. What is the amount of dividends paid if the firm earned a net income of $72,000?

a. $48,500

b. $72,000

c. $58,500

d. $21,000

e. $23,500

2. Aker Company had beginning net fixed assets of $670,000 and ending net fixed assets of $910,000. Assets valued at $75,000 were sold during the year. Depreciation was $62,000. What is the amount of net capital spending?

a. $240,000

b. $315,000

c. $302,000

d. $377,000

e. $227,000

3. At the beginning of the year, long-term debt of a firm is $370,000 and total debt is $495,000. At the end of the year, long-term debt is $415,000 and total debt is $628,000. The interest paid is $20,000. What is the amount of the cash flow to creditors?

a. $45,000

b. $65,000

c. $20,000

d. -$45,000

e. -$25,000

Reference no: EM131575674

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