Dogs 4 U Corporation has net cash flow from financing activities for the last year of $34 million. The company paid $178 million in dividends last year. During the year, the change in notes payable on the balance sheet was $39 million and change in common and preferred stock was $0. The end-of-year balance for long-term debt was $320 million.
Calculate the beginning-of-year balance for long-term debt. (Enter your answer in millions of dollars.)
1. Net cash flow from Financing activities = $34 M
Increase in Notes Payable + Issue of Long term debt - Stock dividends paid = $34 M
39 M+ Issue of Long term debt - $178 M = $34 M
Issue of Long term debt = $173 Million
2. Beginning of year balance = Closing Balance - Issue of long term debt
Beginning of year balance = $320 M - 173 M
Beginning of year Long term debt balance = $147 Million
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