Warf Computers

Only available on StudyMode
  • Download(s) : 363
  • Published : May 3, 2013
Open Document
Text Preview
WARF COMPUTERS, INC.

Financial Analysis

Hirra Zahir, Marcus Vaughn, Alejandro Romero, Kevin Zabihi

WARF COMPUTERS|
Statement of Cash Flows |
2012|
($ in thousands)|
 | | | | | | | |  |
Operations| | | | | | |  |
 | Net income| | | | | $| 896 |
 | Depreciation| | | | | | 191 |
 | Deferred taxes| | | | | | 130 |
 | Change in assets and liabilities| | | | |  |
 | | Accounts receivable| | | | | (37)|
 | | Inventories| | | | | 17 |
 | | Accounts payable| | | | | 20 |
 | | Accrued expenses| | | | | (118)|
 | | Other| | | | |  | (11)|
Total cash flow from operations| | | | $| 1088 |
 | | | | | | | |  |
Investing activities| | | | | |  |
 | Acquisitions of fixed assets| | | | $| (1140)|
 | Sales of fixed assets| | | | | 330 |
Total cash flow from investing activities| | | $| (810)|  | | | | | | | |  |
Financing activities| | | | | |  |
 | Retirement of long-term debt| | | | $| (151)|
 | Proceeds from long-term debt sales| | | | 175 |
 | Change in notes payable | | | | | 6 |
 | Dividends| | | | | | (225)|
 | Repurchase of stock| | | | | (48)|
 | Proceeds from new stock issue| | | | | 12 |
Total cash flow from financing activities| | | $| (231)| Change in cash| | | | | $| 47 |
 | | | | | | | |  |
 |  |  |  |  |  |  |  |  |
Cash Flows

WARF COMPUTERSFinancial Cash Flow2012($ in Thousands)|
Cash flow of the firmOperating cash flow EBIT $ 1598 Depreciation +191Taxes -467 1322Capital Spending Ending Fixed Asset $ 2,700| Beginning Fixed Asset -2,151Depreciation + 191| | (810)|

Addition to Net Working Capital Difference in Current Assets $ 78 Difference in Current Liabilities -92 (170) Total $ 342Cash flow to investor in the firmDebt Interest $ 105 Retirement of Debt +151 Retained Earnings - 12 81 Equity Dividends $ 225 Repurchase Of Stock + 48 Retained Earnings - 12 261 Total $ 342| 1. How would you describe Warf Computers’ cash flow?

Warf Computers was able to support their operating for the year 2012 as the general financial standing...
tracking img