Consider the following potential events that might have occurred to Global on Decemberâ 30, 2016. For eachâ one, indicate which line items inâ Global's balance sheet would be affected and by how much. Also indicate the change toâ Global's book value of equity. a. Global used $19.3 million of its available cash to repay $ 19.3 million of itsâ long-term debt.
b. A warehouse fire destroyed $ 4.9 million worth of uninsured inventory.
c. Global used $ 5.1 million in cash and $ 5.2 million in newâ long-term debt to purchase a $ 10.3 million building.
d. A large customer owing $ 2.8 million for products it already received declaredâ bankruptcy, leaving no possibility that Global would ever receive payment.
e. âGlobal's engineers discover a new manufacturing process that will cut the cost of its flagship product by more than 45 % .
f. A key competitor announces a radical new pricing policy that will drastically undercutâ Global's prices