How much cash was paid for income taxes during the year for Carbones Pizzeria?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
$ | 887,390 | $ | (34,556) | $ | 1,121,451 | | |
M&T PIZZA INCORPORATED AND SUBSIDIARIES Consolidated Statement of Cash Flows For the Year Ended October 31, 2023
| Net income | $ 179,901 |
|---|---|
| Adjustments to reconcile net income to net cash | |
| provided by operating activities | |
| Depreciation and amortization expense | 35,738 |
| Deferred income taxes | (13,000) |
| (Increase) decrease in operating assets | |
| Accounts receivable | (55,096) |
| Accounts receivable, related parties | (62,349) |
| Prepaid expenses | 5,485 |
| Prepaid income taxes | 4,516 |
| Increase (decrease) in operating liabilities | |
| Accounts payable and accrued expenses | 13,178 |
| Income taxes payable | 32,491 |
| Net cash provided by operating activities | 140,864 |
| Cash flows from investing activities | |
| Acquisition of property and equipment | (108,174) |
| Net cash used in investing activities | (108,174) |
| Cash flows from financing activities | |
| Proceeds from loan payable | 43,446 |
| Due from stockhold |
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
Based on the 2025 FDD, the provided excerpts do not contain a specific figure for the amount of cash paid for income taxes by Carbones Pizzeria. However, the 2022 statement of cash flows does include a line for 'Prepaid income taxes' with a value of $4,516 and 'Income taxes payable' with a value of $32,491. These figures reflect changes in these accounts, but not the total cash paid for income taxes during that year.
To get a clear picture of Carbones Pizzeria's tax obligations, prospective franchisees should carefully review the company's financial statements and tax-related disclosures. Understanding the nuances of deferred tax assets and liabilities, as well as the potential impact of changes in tax rates, is crucial for assessing the financial health of the franchise.
It is important to consult with a financial advisor or accountant to fully understand the tax implications of investing in a Carbones Pizzeria franchise. They can help analyze the financial statements and provide insights into the company's tax strategies and potential liabilities. This due diligence will help a franchisee make informed decisions about their investment.