The following information should be used for questions #3 through #5:
Galaxy Interiors

2011 Income Statement

($ in millions)

Net sales $21415

Cost of goods sold 16408

Depreciation 1611

Earnings before interest and taxes 3396

Interest paid 1282

Taxable Income $ 2114

Less: Taxes 740

Net income $ 1374

Galaxy Interiors

2010 and 2011 Balance Sheets

2010 2011 2010 2011

Cash $ 668 $ 297 Accounts payable $1694 $ 1532

Accounts receivable 1611 1527 Notes payable 2500 0

Inventory 3848 2947 Total $4194 $ 1532

Total $ 6127 $ 4771 Long-term debt 9800 10650

Net fixed assets 17489 17107 Common stock 7500 7000

Retained earnings 2122 2696

Total assets $23616 $21878 Total liab. & equity $23616 $21878

1) What is the operating cash flow for 2011?

A. $2114

B. $2985

C. $3536

D. $4267

2) What is the cash flow from assets for 2011?

A. $1732

B. $2247

C. $2961

D. $3915

3) What is the cash flow to stockholders for 2011?

A. -$500

B. -$800

C. $500

D. $1300