The 2020 balance sheet of Osaka’s Tennis Shop, Incorporated, showed long-term debt of $2.7 million, and the 2021 balance
Posted: Wed Jul 06, 2022 12:15 pm
The 2020 balance sheet of Osaka’s Tennis Shop, Incorporated,showed long-term debt of $2.7 million, and the 2021 balance sheetshowed long-term debt of $2.95 million. The 2021 income statementshowed an interest expense of $140,000. The 2020 balancesheet showed $460,000 in the common stock account and $3.2million in the additional paid-in surplus account. The 2021 balancesheet showed $500,000 and $3.5 million in the same two accounts,respectively. The company paid out $500,000 in cash dividendsduring 2021. Suppose you also know that the firm’s net capitalspending for 2021 was $1,320,000, and that the firm reduced its networking capital investment by $59,000.