Suppose you also know that the firms net capital spending


The 2014 balance sheet of Sugarpova's Tennis Shop, Inc., showed long-term debt of $5.7 million, and the 2015 balance sheet showed long-term debt of $5.9 million. The 2015 income statement showed an interest expense of $190,000. During 2015, the company had a cash flow to creditors of -$10,000 and the cash flow to stockholders for the year was $70,000. Suppose you also know that the firm’s net capital spending for 2015 was $1,420,000, and that the firm reduced its net working capital investment by $79,000.

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Financial Management: Suppose you also know that the firms net capital spending
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