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Posted: March 15th, 2023

Net Capital Spending Assignment

  1. If net fixed assets for 2016 was $14,000, what is the amount of the net capital spending for 2017?
    1. Remember that we use gross fixed assets to calculate net capital spending

Cash                                                                      $423

Accounts Receivable                                            15% of Total Revenue

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Accounts Payable                                                 20% of Cost of Goods Sold

Notes Payable                                                       $800

Inventory                                                              $2,900

Net Fixed Assets                                                   $14,800

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Long-term Debt                                                    $3,500

Common Stock                                                     $10,000

Total Revenue                                                      $7,200

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Cost of Goods Sold                                               50% of Total Revenue

Depreciation Expense                                           $1,200

Selling, General, & Administrative Expense       $1,000

Interest Expense                                                   10% of Long-term Debt

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Income Taxes                                                       35% of Taxable Income. Get Finance homework help today

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