1) London Corporation has sales of $546,000, costs of $267,200, depreciation expense of $37,000, interest expense of $15,000, and a tax rate of 32 percent. The firm paid $59,000 in cash dividends. What is the addition to retained earnings?
2) Regal Enterprises had the following transactions impact its networking capital accounts: inventory decreased $140, accounts payable decreased $165, notes payable increased $150 and accounts receivable increased by $75. What is the overall cash impact of these transactions?
3) A company has net income of $179,000, a profit margin of 8.3%, and an accounts receivable balance of $118,370. What is the firm’s days’ sales in accounts receivable?