Flowers Corporation reported net cash provided by operating activities of $412,000, net cash used by investing activities

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Flowers Corporation reported net cash provided by operating activities of $412,000, net cash used by investing activities of $250,000, and net cash provided by financing activities of $70,000. In addition, cash spent for capital assets during the period was $200,000. Average current liabilities were $150,000, and average total liabilities were $225,000. No dividends were paid.
Calculate these values:
(a) Free cash flow.
(b) Current cash debt coverage.
(c) Cash debt coverage.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Accounting Tools for Business Decision Making

ISBN: 978-1118128169

5th edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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