Consider the following working capital information for Full House Corporation: Year ______________________2011 _____________2012 Accounts Receivable .............. $

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Consider the following working capital information for Full House Corporation:
Year ______________________2011 _____________2012
Accounts Receivable .............. $ 0 ....................... $100
Inventory .......................... $100 ...................... $100
Accounts Payable .................. $ 0 ...................... $ 50
What was the effect on free cash flow for the firm this past year?
Free Cash Flow
Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the...
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Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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